MTN today informed investors that negotiations to buy South Africa’s Telkom are still in progress.
“Shareholders are advised that discussions are still in progress which, if successfully concluded, may have a material effect on the price of the Company’s securities,” MTN said on Monday.
“Accordingly, shareholders are advised to continue to exercise caution when dealing in the company’s securities until a further announcement is made.”
Last month, MTN announced that it was in early talks to buy Telkom, the partially state-owned fixed-line telephone operator.
Africa’s largest mobile phone operator said in a statement it had entered into discussions to buy the entire issued share capital of Telkom in return for shares or a combination of cash and shares in MTN.
“Discussions are at an early stage and there is no certainty that the Transaction will be consummated,” stated MTN.
“The board of directors of MTN (Board), individually and collectively, accept full responsibility for the accuracy of the information contained in this announcement and certify that, to the best of their knowledge and belief, such information is true, and that this announcement does not omit any facts that would make any of the information false or misleading or would be likely to affect the importance of any information contained in this announcement.
“The Board has made all reasonable enquiries to ascertain that no facts have been omitted and that this announcement contains all information required by law.”
Also read: Rain Retracts Telkom Merger Statement
Data-only network provider Rain has withdrawn its statement that it wants to merge with partially state-owned telecoms group Telkom.
Following engagement with the Takeover Regulation Panel (TRP), at the TRP’s instruction, rain hereby withdraws its press release of 11 August 2022, said in a statement on Tuesday.
“As rain, we are pleased with Telkom’s SENS announcement stating that if an offer or formal proposal is received from rain, the board of Telkom will consider it. rain intends to submit a formal non-binding proposal to Telkom in due course,” said Vivian Ngalo
Chief Communications Officer at Rain.
“Further details will be published as appropriate in compliance with the Takeover Regulations.
Also read: GUGU LOURIE: SA regulators must allow MTN proposal to buy Telkom
