24 July 2023
Telkom has begun the process of selling its telecom tower unit, Swiftnet, within two months.
There were two strong bidders for Telkom's tower portfolio, although their identities have not yet been revealed.
The sale of Swiftnet is part of Telkom's ‘unlocking value’ strategy. As early as 2021, the company had planned to list its telecom tower business separately on the Johannesburg Stock Exchange (JSE). However, the project was suspended in March 2022, partly due to the effects of the Russia - Ukraine war on the financial markets.
“The cash inflow from the sale of the towers will help us rebalance our balance sheet and invest more in capital expenditure for our fibre optic business,” said Serame Taukobong, CEO and Chairman.
The company may also invest in upgrading and expanding its telecommunications network to be more competitive in the domestic market where it competes with Vodacom, MTN, Cell C and Rain.
