Get more Mail & Guardian
Subscribe or Login

Elephant Consortium acquires stake in Telkom

A broad-based black investor group, the Elephant Consortium, is to acquire a 10,1% stake in fixed line telephone operator Telkom.

It will acquire the stake from the Public Investment Corporation (PIC), which will retain 5% of a 15,1% stake it bought in Telkom in November last year for R6,6-billion and had been warehousing for six months while it was negotiating a deal with the Elephant Consortium.

”The consortium will itself be committing an amount of R40-million of its own capital, with the remainder funded by Nedbank, Absa and the PIC,” said Elephant Consortium head Andile Ngcaba.

Brian Molefe, CEO of the PIC, said the state asset manager had made a R1,5-billion return in the six months that it had warehoused the 15,1% stake after purchasing it from the United States and Malaysian controlled Thintana consortium.

The Elephant Consortium’s 10,1% stake will be shared equally between the Lion Consortium led by Andile Ngcaba, the Buffalo Consortium led by women’s group Wiphold and the Broad Based Beneficiary Trust.

”This is good news for our clients and particularly the government employer fund,” Molefe said.

Ngcaba added that a portion of the annual dividends that would be retained by the consortium would be allocated to community development projects. – Sapa

Subscribe for R500/year

Thanks for enjoying the Mail & Guardian, we’re proud of our 36 year history, throughout which we have delivered to readers the most important, unbiased stories in South Africa. Good journalism costs, though, and right from our very first edition we’ve relied on reader subscriptions to protect our independence.

Digital subscribers get access to all of our award-winning journalism, including premium features, as well as exclusive events, newsletters, webinars and the cryptic crossword. Click here to find out how to join them and get a 57% discount in your first year.

Related stories


If you’re reading this, you clearly have great taste

If you haven’t already, you can subscribe to the Mail & Guardian for less than the cost of a cup of coffee a week, and get more great reads.

Already a subscriber? Sign in here


Subscribers only

Fears of violence persist a year after the murder of...

The court battle to stop coal mining in rural KwaZulu-Natal has heightened the sense of danger among environmental activists

Data shows EFF has lower negative sentiment online among voters...

The EFF has a stronger online presence than the ANC and Democratic Alliance

More top stories

Constitutional court confirms warrantless searches in cordoned off areas unconstitutional

The law was challenged in response to raids in inner Johannesburg seemingly targeting illegal immigrants and the highest court has pronounced itself 10 days before an election in which then mayor Herman Mashaba has campaigned on an anti-foreigner ticket

A blunt Mantashe makes no promises during election campaigning

ANC chairperson Gwede Mantashe told people in Daveyton to stop expecting handouts from the government

Mbeki: Social compact the answer to promises made in ANC...

Former president Thabo Mbeki urged business and government and society to work together to tackle issues such as poverty, unemployment and poor services and infrastructure

South Africa needs to make pension system more inclusive, study...

South Africa’s pension system is ranked 31st out of 43 countries, receiving a C-grade which indicates major risks and shortcomings that should be addressed

press releases

Loading latest Press Releases…