Somali militant group Alshabaab on Thursday took control of Diif in Jubbaland region after fierce fighting with government forces, Radio Dalsan reports.
Local residents who spoke to Radio Dalsan confirmed Alshabaab was now in charge of the town after Jubbaland forces retreated.
The Diif police station was razed down by the militants.
Both sides are yet to confirm the number of casualties involved in the fighting.
The town of  Diif is 10km from the Kenya border.