ANC orchestrated MTN, Telkom deal

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pope24

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ANC orchestrated MTN, Telkom deal
BY KIMBERLY GUEST , ITWEB SENIOR JOURNALIST

MTN's proposed purchase of some of Telkom's assets was not only supported by government, but facilitated by SA's ruling political party, ITWeb can exclusively reveal.

An ANC member has come forward to confirm that the party was “very involved” in the planning of the proposed merger. This, he says, was prompted by the ANC-led government's desire to gain a strategic advantage in the telecoms sector.

http://www.itweb.co.za/sections/telecoms/2007/0711291100.asp?A=FIN&S=Financial&O=FPLEAD
 
This is just completetly outrageous. When is the freakin' government going to realise that it is NOT a business?? :mad:

Corruption all round. I really hope there is no substance behind this article, 'cos if there is then there's no hope for us.

Makes me wonder what they will come up with next. They want to keep a 'strategic advantage in the telecoms sector', which means another parastatal. Sheesh, I give up.
 
Pitbull said:
No wonder MTN pulled out.

I think favours where asked and MTN pulled out
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Hahaha. I'm sure a large corporate like MTN would never dream of stooping to doing favours to help push through a deal.
 
Now ladies and gentlemen you know why iCASA is not doing its job in reigning in Telkom. Both are government's lapdogs. It is absolutely incredible how corrupt the whole pigsty got in only 13 years.
 
However, an investor analyst who follows Telkom and MTN, rejects this [ANC intervention] suggestion.

“If government was to force competition authorities to rubberstamp the deal it would border on corruption. I can understand that pressure may be applied to speed up the investigation process, but I doubt that it would be pushed through,” he says.
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Most naive quote of the year. :sick:
 
Nick333 said:
Hahaha. I'm sure a large corporate like MTN would never dream of stooping to doing favours to help push through a deal.
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Just imagine what favours/deals/bribes and promises that were made to close the massive deal MTN made in Iran recently? When you start seeing SA voting with Iran on issues in the United Nations, then things become clear as mud! That deal could never have happened without the ANC's blessing...makes you think who is really in charge.
 
morebroadband said:
Just imagine what favours/deals/bribes and promises that were made to close the massive deal MTN made in Iran recently? When you start seeing SA voting with Iran on issues in the United Nations, then things become clear as mud! That deal could never have happened without the ANC's blessing...makes you think who is really in charge.
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I didn't know about the Iranian deal, but thats very enlightening.

Maybe MTN's decided their tame politicians just lost their currency what with a regime change within the ANC imminent.
 
Another unsubstantial, unsubstantiated story to feed the paranoia.
 
Maybe I am stupid, but can someone please explain to me how Telkom selling part of its fixed line business to MTN would provide the ANC with a 'strategic advantage in the telecoms sector'? I see nothing strategic in it for the ANC...
 
pope24 said:
ANC orchestrated MTN, Telkom deal
BY KIMBERLY GUEST , ITWEB SENIOR JOURNALIST

MTN's proposed purchase of some of Telkom's assets was not only supported by government, but facilitated by SA's ruling political party, ITWeb can exclusively reveal.

An ANC member has come forward to confirm that the party was “very involved” in the planning of the proposed merger. This, he says, was prompted by the ANC-led government's desire to gain a strategic advantage in the telecoms sector.

http://www.itweb.co.za/sections/telecoms/2007/0711291100.asp?A=FIN&S=Financial&O=FPLEAD
Click to expand...

supplies supplies
 
MTN's proposed purchase of some of Telkom's assets was not only supported by government, but facilitated by SA's ruling political party, ITWeb can exclusively reveal.

An ANC member has come forward to confirm that the party was very involved in the planning of the proposed merger. This, he says, was prompted by the ANC-led government's desire to gain a strategic advantage in the telecoms sector.

http://tinyurl.com/2jx77z

Sorry for double posting:o
 
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Gatecrasher said:
Another unsubstantial, unsubstantiated story to feed the paranoia.
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Considering the brevity and dare I say lack of substance in your post, I could simply say that I disagree with your assessment of the article, but I say more than that: this is what I suspected the guavamentalists were doing behind the scenes - especially when considering that MTN buying into Telkodemonopolies makes very little sense whatsoever, IOW political interference is a perfectly logical explanation for the stupidity involved in such a merger or partial merger.
DJStealth said:
Maybe I am stupid, but can someone please explain to me how Telkom selling part of its fixed line business to MTN would provide the ANC with a 'strategic advantage in the telecoms sector'? I see nothing strategic in it for the ANC...
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Apart from creating an even larger monopoly than the one that already exists, and the blending of communism and telecommunications into communistications where large numbers of voters do not have access to opinions that differ from those of the ruling party, and the financial dividends that keep the guavamental gravy-train rolling, there is also the opportunity of making lots of money in the rest of Africa and the Middle East etc - except that the rest of Africa will not allow Telkodemonopolies to expand into their countries - Nigeria for instance wisely told Telkodemonopolies to take a hike when it tried to buy Nitel, MTN has had much better success in Africa.
 
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Hmm, I always assumed that the only way to get any major deal past the competition authorities was with political clout/help.
 
ic said:
Apart from creating an even larger monopoly than the one that already exists, and the blending of communism and telecommunications into communistications where large numbers of voters do not have access to opinions that differ from those of the ruling party, and the financial dividends that keep the guavamental gravy-train rolling, there is also the opportunity of making lots of money in the rest of Africa and the Middle East etc - except that the rest of Africa will not allow Telkodemonopolies to expand into their countries - Nigeria for instance wisely told Telkodemonopolies to take a hike when it tried to buy Nitel, MTN has had much better success in Africa.
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I still don't see it. Surely for this arguement to be correct, the guavamint would have to take a significant stake in MTN? Surely by selling its fixed-line business to MTN, the guavamint has less involvement in Telecoms because they are a majority Telkom shareholder, not MTN. You might have to explain this slowly and carefully cause I am aware you know a fair amount more than I do about the runnings of the telecoms sector.
 
DJStealth said:
I still don't see it. Surely for this arguement to be correct, the guavamint would have to take a significant stake in MTN? Surely by selling its fixed-line business to MTN, the guavamint has less involvement in Telecoms because they are a majority Telkom shareholder, not MTN. You might have to explain this slowly and carefully cause I am aware you know a fair amount more than I do about the runnings of the telecoms sector.
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There was a potential share-swap deal on the table according to several news articles, which would have seen guavamental shares in Telkodemonopolies [potentially] being exchanged for MTN shares, and of course the guavamental PIC group already owns shares in MTN [~10% IIRC], so guavamental dividends from MTN would effectively have increased - perhaps not to a controlling point 50+% but certainly significant...
 
I pray that our government makes good descisions and that we will benefit from their wisdom
 
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