COMPANY NEWS IN BRIEF
Standard Bank to keep Sekunjalo's accounts open
Standard Bank says it will continue to provide banking services to Iqbal Survé's Sekunjalo Group "for the time being" after the owner of Independent Newspapers lodged a bid for leave to appeal with the Constitutional Court.
Last month the Competition Appeal Court (CAC) found that Standard Bank had not engaged in anti-competitive behaviour when it put Sekunjalo's accounts under review.
Following the ruling, Standard Bank told Sekunjalo it would shut its banking facilities on 21 August. The bank offers facilities to Sekunjalo's subsidiary Independent Newspapers, the publisher of newspapers such as the Cape Times, The Star, and Isolezwe.
South Africa's largest newspaper publisher is already suffering from falling circulation and plummeting advertising. Last month it announced it would be cutting at least 40% of its staff in a bid to stay operational.
In response to the CAC ruling, newspapers in the Independent Newspapers stable launched a media blitz to get Standard Bank to walk back its decision - including by publishing personal appeals from journalists.-Fin24
DStv owner MultiChoice pulls out of Malawi
Africa's largest pay TV operator MultiChoice is shutting down its service in Malawi after a battle with country's communications regulator over price hikes.
DStv Malawi told subscribers to stop making payments and that all existing subscribers in the country will be cut off within 30 days or less. This follows an ongoing battle over subscription prices in the country, with Malawi's regulator successfully halting price increases for August.
In January, the Malawi Communications Regulatory Authority (MACRA) fined the company 10 million Kwacha (about R174 000) for a price hike it implemented in July 2022, ordering it to refund all DStv subscribers over a failure to first get approval.
MultiChoice Malawi then went to court to challenge this, but amid an ongoing judicial review, MACRA obtained a legal injunction against the operator preventing it from modifying its tariffs in late July. This followed an announcement that prices would rise in August, and the court granted temporary stays to allow time to modify the tariff structure until August 7.
MACRA said in a statement that its understanding was that MultiChoice Malawi had argued in court that its principal, Multichoice Africa, is unable to revert to the old DStv tariffs, claiming that reversing the tariffs would cause damage to its business and operations in Malawi and several other countries.-Fin24
UK retailer Wilko collapses
British household goods company Wilko has collapsed owing to big debts, its boss announced Thursday, impacting about 12 000 jobs as high inflation and interest rates hurt consumers and businesses.
The group, operating out of about 400 stores as well as online selling cleaning and garden products in addition to other small household items, formally entered administration, a process that could see parts of the business saved.
"We've all fought hard to keep this incredible business intact but must concede that time has run out, and now we must do what's best to preserve as many jobs as possible, for as long as is possible, by working with our appointed administrators," Wilko chief executive Mark Jackson said in an open letter on its website.
Media reports said Wilko had appointed PricewaterhouseCoopers as administrators of the distressed company that was founded in 1930.
"While we can confirm we had a significant level of interest, including indicative offers that we believe would meet all our financial criteria to recapitalise the business we've been left with no choice but to take this unfortunate action," Jackson added.-Fin24
Vodacom deal will bring fibre to poor homes
The owner of Vumatel, South Africa's largest fibre-to-the-home operator, says its proposed merger with Vodacom - which the Competition Commission blocked - could bring fibre to one million new households in lower-income areas, creating 10 000 jobs.
The commission recommended that the deal be prohibited, saying it would lessen competition.
The deal, which has been in the works since 2021, would see Vodacom buy a large stake in Maziv, the company that owns Vumatel and Dark Fibre Africa (DFA). DFA provides fibre services in and between SA's towns and cities.
Maziv is owned by Community Investment Ventures Holdings (CIVH), which falls under JSE-listed investment holding company Remgro.
After the commission recommended that the deal be blocked, Maziv said it would seek to have the merger approved by the Competition Tribunal. The tribunal can overturn recommendations made by the commission for some mergers.
"The transaction will be hugely beneficial to the market in that Vodacom fibre assets will, as a result of the transaction, become commercially available on an open access, transparent and non-discriminatory basis," said Maziv.
Vodacom said its promised investment of more than R10 billion would enable it to extend fibre infrastructure to one million new homes in lower-income areas and create 10 000 new jobs.-Fin24
Standard Bank says it will continue to provide banking services to Iqbal Survé's Sekunjalo Group "for the time being" after the owner of Independent Newspapers lodged a bid for leave to appeal with the Constitutional Court.
Last month the Competition Appeal Court (CAC) found that Standard Bank had not engaged in anti-competitive behaviour when it put Sekunjalo's accounts under review.
Following the ruling, Standard Bank told Sekunjalo it would shut its banking facilities on 21 August. The bank offers facilities to Sekunjalo's subsidiary Independent Newspapers, the publisher of newspapers such as the Cape Times, The Star, and Isolezwe.
South Africa's largest newspaper publisher is already suffering from falling circulation and plummeting advertising. Last month it announced it would be cutting at least 40% of its staff in a bid to stay operational.
In response to the CAC ruling, newspapers in the Independent Newspapers stable launched a media blitz to get Standard Bank to walk back its decision - including by publishing personal appeals from journalists.-Fin24
DStv owner MultiChoice pulls out of Malawi
Africa's largest pay TV operator MultiChoice is shutting down its service in Malawi after a battle with country's communications regulator over price hikes.
DStv Malawi told subscribers to stop making payments and that all existing subscribers in the country will be cut off within 30 days or less. This follows an ongoing battle over subscription prices in the country, with Malawi's regulator successfully halting price increases for August.
In January, the Malawi Communications Regulatory Authority (MACRA) fined the company 10 million Kwacha (about R174 000) for a price hike it implemented in July 2022, ordering it to refund all DStv subscribers over a failure to first get approval.
MultiChoice Malawi then went to court to challenge this, but amid an ongoing judicial review, MACRA obtained a legal injunction against the operator preventing it from modifying its tariffs in late July. This followed an announcement that prices would rise in August, and the court granted temporary stays to allow time to modify the tariff structure until August 7.
MACRA said in a statement that its understanding was that MultiChoice Malawi had argued in court that its principal, Multichoice Africa, is unable to revert to the old DStv tariffs, claiming that reversing the tariffs would cause damage to its business and operations in Malawi and several other countries.-Fin24
UK retailer Wilko collapses
British household goods company Wilko has collapsed owing to big debts, its boss announced Thursday, impacting about 12 000 jobs as high inflation and interest rates hurt consumers and businesses.
The group, operating out of about 400 stores as well as online selling cleaning and garden products in addition to other small household items, formally entered administration, a process that could see parts of the business saved.
"We've all fought hard to keep this incredible business intact but must concede that time has run out, and now we must do what's best to preserve as many jobs as possible, for as long as is possible, by working with our appointed administrators," Wilko chief executive Mark Jackson said in an open letter on its website.
Media reports said Wilko had appointed PricewaterhouseCoopers as administrators of the distressed company that was founded in 1930.
"While we can confirm we had a significant level of interest, including indicative offers that we believe would meet all our financial criteria to recapitalise the business we've been left with no choice but to take this unfortunate action," Jackson added.-Fin24
Vodacom deal will bring fibre to poor homes
The owner of Vumatel, South Africa's largest fibre-to-the-home operator, says its proposed merger with Vodacom - which the Competition Commission blocked - could bring fibre to one million new households in lower-income areas, creating 10 000 jobs.
The commission recommended that the deal be prohibited, saying it would lessen competition.
The deal, which has been in the works since 2021, would see Vodacom buy a large stake in Maziv, the company that owns Vumatel and Dark Fibre Africa (DFA). DFA provides fibre services in and between SA's towns and cities.
Maziv is owned by Community Investment Ventures Holdings (CIVH), which falls under JSE-listed investment holding company Remgro.
After the commission recommended that the deal be blocked, Maziv said it would seek to have the merger approved by the Competition Tribunal. The tribunal can overturn recommendations made by the commission for some mergers.
"The transaction will be hugely beneficial to the market in that Vodacom fibre assets will, as a result of the transaction, become commercially available on an open access, transparent and non-discriminatory basis," said Maziv.
Vodacom said its promised investment of more than R10 billion would enable it to extend fibre infrastructure to one million new homes in lower-income areas and create 10 000 new jobs.-Fin24
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