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Conakry - Guinea will suspend the local licence of MTN Group [JSE:MTN] if a row over payments due to the government after MTN's 2007 acquisition of a local operator are not resolved by April 29, the government said on Thursday.
The suspension of MTN, which operates in Guinea under the Areeba brand, would come into effect from 17:00 GMT on May 2, according to a statement from the telecommunications ministry, seen by Reuters on Thursday.
The row with MTN is the latest in a series of showdowns the government has had with international firms since Alpha Conde took over as president following two years of military rule.
MTN entered the Guinean market when it bought the Areeba brand from Lebanese operator Investcom in 2007. But the Guinean government says it is still owed $22.25m from the deal.
A spokesperson for MTN in South Africa said he could not immediately comment on the issue.
MTN, which says it has two million subscribers in Guinea, is the leading mobile operator in the West African nation, where the population is estimated at 10 million.
Since winning an election last year, Conde has cancelled a port deal with France's Getma international, suspended a railway project with Brazil’s Vale, and his camp has signalled more tough moves ahead, possibly against Russian miner RUSAL.
The suspension of MTN, which operates in Guinea under the Areeba brand, would come into effect from 17:00 GMT on May 2, according to a statement from the telecommunications ministry, seen by Reuters on Thursday.
The row with MTN is the latest in a series of showdowns the government has had with international firms since Alpha Conde took over as president following two years of military rule.
MTN entered the Guinean market when it bought the Areeba brand from Lebanese operator Investcom in 2007. But the Guinean government says it is still owed $22.25m from the deal.
A spokesperson for MTN in South Africa said he could not immediately comment on the issue.
MTN, which says it has two million subscribers in Guinea, is the leading mobile operator in the West African nation, where the population is estimated at 10 million.
Since winning an election last year, Conde has cancelled a port deal with France's Getma international, suspended a railway project with Brazil’s Vale, and his camp has signalled more tough moves ahead, possibly against Russian miner RUSAL.
