Business Connexion (BCX) and Telkom are still awaiting regulatory approval, in a number of countries, for Telkom’s takeover of the company.
According to a statement made to shareholders, the company revealed that it still needs approvals from the following the Competition Commission sectors: South African Competition Commission; Competition Authority in Botswana; The Common Market for Eastern Southern Africa Commission; The Independent Communications Authority of South Africa.
According to both BCX and Telkom, they are not expecting any issues to arise during the review period and expect clearance in due course. Telkom has offered BCX a cash offer of ZAR 6.60 per share.
BCX said that once it gets all the necessary approvals, it will seek the final go-ahead from the Takeover Regulations Panel and the JSE. Back in August 2014, BCX shareholders voted in favour of the Telkom acquisition.
Isaac Mophatlane, Business Connexion Group Chief Executive Officer stated at the time: “We believe that working together with Telkom will improve our customer value proposition through a greater ability to provide integrated end-to-end ICT solutions and a more global and competitive offering, particularly on the African continent. There are also some synergies between our respective businesses, which will be explored in more detail as we get closer to the completion of the transaction.”
Darryl Linington
