Goodbye New York

ADSL South Africa (Broadband South Africa), 10 August 2009

It will truly be a case of goodbye New York if Telkom’s planned delisting from the New York Stock Exchange (NYSE) is successful by the end of August.

Cost saving exercise...

Telkom is planning to delist from the New York Stock Exchange (NYSE) in a bid to save on costs in a tough business environment.

The above comes after several companies have already delisted from the NYSE, the main reason being the fact that the cost of maintaining a listing on the NYSE, currently simply outstrips the benefits of such a listing. Although the NYSE places a limit of USD500 000 (more or less R4 000 000) on the annual listings fees a NYSE-listed company must pay (with exceptions), it is still expensive and an unnecessary cost for many companies, especially during this time of recession.

ADSL South Africa (Broadband South Africa) supports Telkom's decision to delist from the NYSE.