The High Court in Pretoria on Sunday ruled that the Vodacom JSE listing can go ahead as planned. This comes after Cosatu and ICASA tried to stop the JSE listing and the Telkom – Vodacom – Vodafone deal.
Despite this ruling Cosatu spokesperson Patrick Craven said that they would continue to oppose the listing by all legal means including launching a boycott of the telecommunications giant.
He said Cosatu felt that the ruling was bad news for all people in South Africa in favour of those with money.
Craven said high-court judge John Murphy had accepted initially that Cosatu and Icasa had a legitimate case.
The judge said the original application to stop the deal might have succeeded because Icasa and Cosatu had a good argument but the damages done to South Africans were outweighed by the financial benefits and as such the court could not accept the application.
Craven said the need for the ownership to remain in South African hands was far more important than the inconvenience caused to shareholders and executives.
ICASA and Cosatu join forces
On Friday ICASA backtracked on an earlier decision that that the Vodacom deal can go ahead without its approval, saying that Telkom SA did indeed need its approval to dispose of its Vodacom shares to the UK’s Vodafone.
Vodacom hit back, saying that “until a decision to the contrary is made, the listing is on track to take place on Monday.” ICASA and Cosatu then applied for an urgent court interdict to stop Vodacom’s planned JSE listing on Monday, something which Vodacom opposed.
“We have been served an urgent application by Cosatu and Icasa to interdict the Vodacom listing on Monday. We are opposing,” Vodacom said in a statement on Saturday.
“We welcome the judgement and we look forward to listing tomorrow,” Vodacom said in a statement late Sunday.
Cosatu & ICASA loses Vodacom case – discussion