MultiChoice Group was ordered by an appeal tribunal in Lagos to pay 50% of a 1.8 trillion naira (R65 billion) disputed tax backlog imposed on it by Nigerian authorities.
The amount is a deposit and condition of the pay-TV company’s case being heard, the Federal Inland Revenue Service says in an emailed statement on Wednesday. The case has been adjourned for hearing on Sept. 23.
MultiChoice stock slumped 6.6% as of 4:33 p.m. in Johannesburg, hitting near 11-month lows.
The company wasn’t able to immediately comment when contacted by Bloomberg.
Nigeria’s tax authority asked lenders to freeze MultiChoice’s local bank accounts to recover the alleged tax arrears last month.
The decision came after Johannesburg-based MultiChoice refused to grant access to its servers for an audit, Nigeria’s Federal Inland Revenue Service said at the time.