MTN – Bonds to pay NCC fine

Telecommunications company  MTN has initiated steps to organize fixed income investor meetings in the US and UK beginning September 9, 2016. It plans to float dollar denominated bonds for the purpose of  paying dividends, capital expenditure and the N330 billion ($1 billion) fine levy imposed on it by the Nigeria Communication Commission (NCC).

To achieve this, the company has syndicated Barclays Bank Plc, Bank of America Corp.’s Merrill Lynch, Citigroup Inc. and Standard Bank Group Limited according to a Reuters report. This month, the company released its first-ever half-year loss, in part due to an agreement to settle the fine with the NCC. The first payment which was due on July 8, 2016 has been settled while the outstanding N280 billion of the NCC fine is to be paid in six instalments over the next three years