South Africaâ€™s telecommunications giant Telkomâ€™s proposed takeover of IT company Business Connexion Ltd has been delayed as certain conditions have not been met on time, the group said on Thursday.
Telkom, a fixed line company, confirmed in a statement the deadline to close the deal with Business Connexion had been postponed as it had not yet acquired a certified court order authorizing the planned takeover which was due to take place on August 10. Earlier this year, Telkom made an offer to acquire the entire issue share capital of Business Connexion.
Should the conditions precedent be fulfilled, then a further announcement regarding the dates and times of the last day to trade, the suspension date, the record date, the operative date and the de-listing date will be released...in due course, Telkom said in a statement.
However, Telkom did not reveal the cause for the delay. The company has made a made a $360-million (R2.43-billion) offer for the IT outsourcing company. Telkom aims to boost its data business and increase revenues through the acquisition of Business Connexion.