Telkom confirms receipt of nonbinding proposal, requests more information

12th June 2023 By: Natasha Odendaal - Creamer Media Senior Deputy Editor

Telkom confirms receipt of nonbinding proposal, requests more information

Sipho Maseko

JSE-listed Telkom on Monday confirmed it has received an unsolicited non-binding indicative letter from a consortium for the acquisition of a controlling stake in the telecommunications group.

As Telkom assesses the merits of the non-binding potential majority acquisition, it has requested more information from the consortium, which is led by former CEO Sipho Maseko, through Afrifund Investments, and comprises Axian Telecom and the Government Employees Pension Fund, managed by the Public Investment Corporation.

“In this regard, the company has requested the consortium to provide further clarity on several matters, including the proposed offer price and certainty of funding. As such, discussions remain of an exploratory and non-consensual nature, there being no certainty that the outcome of these discussions will result in a transaction,” Telkom said in an update to shareholders.

Shareholders are advised to exercise caution when dealing in the company’s shares, amid continued detailed media speculation, until a further announcement is made.