Telkom and Business Connexion (BCX) have suspended talks relating to a R2.7 billion acquisition by the former, following the passing of BCX CEO Benjamin Mophatlane.
Described as one of SA's greatest entrepreneurs, Mophatlane passed away after suffering a cardiac arrest during a meeting between BCX and Telkom on Wednesday.
The companies say they are both still committed to the transaction, but will put it on hold for a period of mourning.
While the companies did not specify the time period, they said discussions would resume in due course.
"As a result of this tragic blow to the BCX leadership and out of respect to the memory of Benjamin Mophatlane and his family, Telkom and BCX have jointly agreed to suspend current activities pursuant to the transaction during the mourning period," the companies said in a statement late on Thursday.
The Takeover Regulation Panel has granted an extension for the posting of the circular relating to the transaction until 11 July.
The companies have long been in talks, with Telkom last month putting a R2.67 billion offer on the table to acquire the ICT services business, eight years after it offered to buy BCX in a deal that was quashed by the Competition Tribunal.
Deputy CEO of BCX, Vanessa Olver, has been appointed acting CEO of BCX.
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