Telkom and BCX deal on track – license transfer application no longer required
Both Telkom and BCG (Business Connexion Group Limited) remain entirely
committed to the transaction with BCG and the transaction will proceed,
pending final approval by The South African Competition Tribunal. Telkom
and BCG remain in ongoing discussions with the Independent Communications
Authority of South Africa, as the regulator of this industry.
Telkom and BCG (Business Connexion Group Limited) applied to ICASA in
August 2014, for written approval for a change in control of the shareholding
of BCG from current shareholders of BCG, to Telkom.
The proposed transaction between BCG’s current shareholders and Telkom
will result in Telkom acquiring the entire issued share capital of BCG
in terms of an Implementation Agreement entered into between the parties
on the 21st of May 2014.
Subsequent to this application, both BCG and Telkom have further reviewed
the Electronic Communication Act, with particular focus on sections 13(1)
and 31(2A). On reviewing these elements, the view has been taken that the
application for the transfers of licenses from BCX to Telkom will not be
required. The application for the license transfer was therefore withdrawn
from ICASA. However, the transaction between Telkom and BCG remains on
course for completion, pending final approval from the competition authorities.
For further enquiries, please contact:
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Pynee Chetty
Senior Specialist: Media Relations
Group Communication
Tel:+27 12 642 1716
Mobile: +27 81 389 7874
Email: chettpr2@telkom.co.za
|
OR |
Leigh-Ann Francis
Specialist: Media Relations
Group Communication
Tel: +27 12 642 1728
Mobile: +27 81 391 4780
Email: francilm@telkom.co.za
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Telkom Park, The Apex
92 Oak Avenue
Technopark
Highveld
Centurion
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ABOUT TELKOM:
Telkom is a leading communications services provider in South Africa.
We had consolidated operating revenue of R16.8 billion and normalised profit
after tax of R1, 683 million for the period ended 30 September 2015. Total
assets amounted to R41.9 billion and equity attributable to the owners
of Telkom to R23.5 billion as of 30 September 2015. The group generated
normalised free cash flow of R1.4 billion for the period ended 30 September
2015.
As of 30 September 2015, we had approximately 3.3 million telephone access
lines in service and 1,030,441 ports connected via MSAN access. We offer
business, residential and payphone customers a wide range of services and
products, including:
- fixed-line retail voice services using PSTN (Public Switched Telephone
Network) lines, including ISDN (Integrated Services Digital Network) lines,
and the sale of subscription based value-added voice services and calling
plans;
- fixed-line customer premises equipment rental and sales services both
voice and data needs and these include PABX, Computers, Routers, Modems,
Telephone handsets and other ancillary equipment;
- interconnection services, including terminating and transiting traffic
from South African mobile operators, as well as from international operators
and transiting traffic from mobile to international destinations;
- fixed-line data services, including domestic and international data transmission
services, such as point-to-point leased lines, ADSL (Asymmetrical Digital
Subscriber Line) services, packet-based services, managed data networking
services and internet access and related information technology services;
- Data Centre Operations includes e-commerce, application service provider,
hosting, data storage, e-mail and security services;
- W-CDMA (Wideband Code Division Multiple Access), a 3G next generation
network, including fixed voice services, data services and nomadic voice
services;
- mobile communication services, including voice services, data services
and handset sales through our mobile navbar-brand called Telkom Mobile;
- information and communication services including cloud services,
infrastructure services, workspace services, global service integration
management and hardware and network equipment sales locally, in seven African
countries, the UK and Dubai through Business Connexion Group; and
- other services including directory services, through Trudon (Pty) Ltd,
wireless data services, through Swiftnet (Pty) Ltd.
Convergence is one of our key strategic initiatives in building a sustainable
future for Telkom. We will lead the provision of converged services
in South Africa in support of our mission statement: Seamlessly connecting
people to a better life.