MTN Group shares slumped to a six-year low after a Nigerian senator claimed the wireless carrier may have illegally moved more than the previously estimated US$14bn out of the country, citing early findings from an investigation into the allegation.
The stock declined 2,3% to R107,50 by the close in Johannesburg, the lowest since July 2010, extending the fall since the allegations were first raised last month to 13%. MTN “categorically denies” the claims, its Nigeria unit’s CEO, Ferdi Moolman, told lawmakers in Abuja, the capital.
“We have realised from preliminary investigations that it is actually outrageously higher than” the original figure, Dino Melaye, the senator who raised the allegation last month, told reporters in Abuja, on Wednesday.