Government approval…

Despite the fact that a Sens announcement in reference to the deal stated that the deal is backed by Telkom’s board as well as the South African government, who has a 38% stake in Telkom, it’s still waiting on approval of the post Mbeki government. The deal was scheduled to be rubber-stamped by government the week Mbeki was dismissed and now it seems like senior members of the ANC want the deal to be stopped. This is the result of a resolution taken at the Polokwane conference that all major government transactions should be placed on hold until next year’s elections.

ADSL South Africa (Broadband South Africa) welcomes Telkom’s move to get rid of its stake in Vodacom despite the fact that the relevant role players are still waiting on approval from the government led by Kgalema Motlanthe.