The South African telecom giant, MTN has announced that they are in discussion about the possible acquisition their smaller market rival Telkom. While there hasn’t been any concrete development on the acquisition MTN did put out a cautionary announcement for its shareholders.
Shareholders are advised that MTN and Telkom SA SOC Limited (Telkom) have entered into discussions in relation to MTN acquiring the entire issued share capital of Telkom in return for shares or a combination of cash and shares in MTN (the Transaction).
Discussions are at an early stage and there is no certainty that the Transaction will be consummated.
The Transaction, if concluded, may have a material effect on the price of the Company’s securities. Accordingly, shareholders are advised to exercise caution when dealing in the Company’s securities until a further announcement is made.
The board of directors of MTN (Board), individually and collectively, accept full responsibility for the accuracy of the information contained in this announcement and certify that, to the best of their knowledge and belief, such information is true, and that this announcement does not omit any facts that would make any of the information false or misleading or would be likely to affect the importance of any information contained in this announcement. The Board has made all reasonable enquiries toAnnouncement by MTN
ascertain that no facts have been omitted and that this announcement contains all information required by law.