Phuthuma Nhleko will stay on as interim executive chairman of MTN until he has resolved the dispute with Nigerian authorities over a record US$3,9bn fine imposed on the telecommunications group’s Nigerian subsidiary, it was reported on Thursday.
According to Reuters, which quoted MTN spokesman Chris Maroleng, Nhleko will stay on “until he fulfils his mandate”.
Nhleko tooks the reins at MTN last year following the sudden resignation of former CEO Sifiso Dabengwa in November 2015.
Dabengwa left the group following the imposition of the fine by the Nigerian Communications Commission. The fine, originally set at $5,2bn, was later reduced to $3,9bn. It was imposed after MTN failed to disconnect 5m unregistered Sim cards.
Nhleko’s six-month contract was due to expire this week.
MTN’s share price closed at R132,16, down by 1,3% on the session. In the past year, the counter has shed 43% of its value. — (c) 2016 NewsCentral Media