Who really owns Telkom

[Shaun Jacobs]

Who really owns Telkom

Following a failed bid from Telkom's former CEO to buy the company, Daily Investor looked at who really owns the telecommunications giant.

 

[Gaz{M}]

Intersting to note that Telkom listed on the JSE at R28.00 a share in 2003. Which adjusted for inflation is R79 today.

 

[RedViking]

The Government, thanks bot

 

[RonSwanson]

Intersting to note that Telkom listed on the JSE at R28.00 a share in 2003. Which adjusted for inflation is R79 today.

And they turn down an offer of R46/share, backed by their second largest shareholder, whilst the CEO values it at "over R60 per share"?

This does not make sense to reasonably intelligent people with a normal value system.

The only way that you can explain this is Lekker AA, BEE and Transformation

 

[ChrisMOlives]

The PIC investment strategy isn't sound. Some very dodge investments over the years and I'm worried about my pension future - as a lifelong contributor. We only hear the current owners and the suitor/ex AA CEO who didn't really add value. There is huge hidden value as with the post office - but the current semi owner - the state - read ANC couldn't manage a pavement spaza shop let alone a piss-up in a brewery. Or a highly technical environment now currently operated by Chinese technicians - scares the **** out of me.

 

[RonSwanson]

The PIC investment strategy isn't sound. Some very dodge investments over the years and I'm worried about my pension future - as a lifelong contributor. We only hear the current owners and the suitor/ex AA CEO who didn't really add value. There is huge hidden value as with the post office - but the current semi owner - the state - read ANC couldn't manage a pavement spaza shop let alone a piss-up in a brewery. Or a highly technical environment now currently operated by Chinese technicians - scares the **** out of me.

If you have a defined benefit pension then you have nothing to worry about, no matter how bad the pension fund does, you will get your defined pension regardless, courtesy of the taxpayer. So your slice of pizza will always be a big one, and even if they only have have to steal the pizzas from someone else .
If it is a defined contribution fund, then you have reason for concern, the pizza slices get bigger or smaller depending on how well the fund does.

AFAIK government pension funds are all defined benefit funds.

 

[ChrisMOlives]

If you have a defined benefit pension then you have nothing to worry about, no matter how bad the pension fund does, you will get your defined pension regardless, courtesy of the taxpayer. So your slice of pizza will always be a big one, and even if they only have have to steal the pizzas from someone else .
If it is a defined contribution fund, then you have reason for concern, the pizza slices get bigger or smaller depending on how well the fund does.

AFAIK government pension funds are all defined benefit funds.

Agreed, partially. But we've seen how government erodes legislation or agreement to suit the ANC elite. ANC cadres within organisation's / SOEs, Municipalities and everywhere else have corrupted them. The next big money pit is NHI on the backs of nonfunctional state medical care and sometimes exhorbitant private medical care. The RAF, UIF and Workmen's Comp are all, give or take, mixes of the defined contribution and or defined benefit schemes - but have all been trashed by political /cadre/comrade/ANC interference in various ways. Where payouts / benefits seldom match what was due legislatively.

 

[Moto Guzzi]

The thing is with promised pensions when you young is that when you retire does not matter at which level, for that promise you always get way less effective results for that time when your time arrives.
Sometimes exponential growth is mentioned because you don't use any of the contrubutions, but what is not mentioned is the same accumulative effect you robbed of over the years by early and continued transaction costs, similar to accumulated growth just in a negative way eating your growth away.
The other thing is you never ever actually has the money in your hands, except for your income its always in the hands of a few others which so happen to live way better that you who actually worked for your pention and on top that get taxed on it too again.
Today, look at the markets, the "news media"just sneese and millions of transactions take place, like the ebb & flow of the see senseless backwards and forwards every day in short order, just wondering whats cooking in that pot.

 

[RonSwanson]

Agreed, partially. But we've seen how government erodes legislation or agreement to suit the ANC elite. ANC cadres within organisation's / SOEs, Municipalities and everywhere else have corrupted them. The next big money pit is NHI on the backs of nonfunctional state medical care and sometimes exhorbitant private medical care. The RAF, UIF and Workmen's Comp are all, give or take, mixes of the defined contribution and or defined benefit schemes - but have all been trashed by political /cadre/comrade/ANC interference in various ways. Where payouts / benefits seldom match what was due legislatively.

The thing is with promised pensions when you young is that when you retire does not matter at which level, for that promise you always get way less effective results for that time when your time arrives.
Sometimes exponential growth is mentioned because you don't use any of the contrubutions, but what is not mentioned is the same accumulative effect you robbed of over the years by early and continued transaction costs, similar to accumulated growth just in a negative way eating your growth away.
The other thing is you never ever actually has the money in your hands, except for your income its always in the hands of a few others which so happen to live way better that you who actually worked for your pention and on top that get taxed on it too again.
Today, look at the markets, the "news media"just sneese and millions of transactions take place, like the ebb & flow of the see senseless backwards and forwards every day in short order, just wondering whats cooking in that pot.

Ja, agreed it's a mess, and they keep it that way so the spillover goes to the cadres.

 

[Petec]

But wait...
This can't be true.
The forumites in the know, repeatedly state that Telkom is a totally private company, and that us who say otherwise are just plain ignorant and wrong.
They are right, are they not?

 

[PaulNOTsaul]

The PIC investment strategy isn't sound. Some very dodge investments over the years and I'm worried about my pension future - as a lifelong contributor. We only hear the current owners and the suitor/ex AA CEO who didn't really add value. There is huge hidden value as with the post office - but the current semi owner - the state - read ANC couldn't manage a pavement spaza shop let alone a piss-up in a brewery. Or a highly technical environment now currently operated by Chinese technicians - scares the **** out of me.

While I can agree with 90% of what you said, the ex CEO saved Telkom, you can not compare Telkom of yesterday to that of today, its largely due to him. Just try to remember back on how Telkom was the Home Affairs of the industry, everything was a grudge purchase from them. Today, people are happy to walk into Telkom stores and take up their products, they have improved in almost everywhere beating Vodacom and MTN in many ways, their network is tops etc etc.

It's much slimmer and agile than it was before, the only people who have a grudge against the former CEO is your labour unions, but maybe you just have a general "AA" racist attitude blinding you. I dont know of anyone in the business community who wont give him credit for what he was done at Telkom.