Cellular network operator MTN Group has withdrawn a cautionary notice, saying it is satisfied that the sale of Transnet`s 18.7% stake in the group will not have an adverse effect.
Last month Transnet announced that it had finalised the sale of the stake to Newshelf 664, a consortium of MTN staff and management. The deal was valued at R4.3 billion.
MTN says a committee of independent non-executive directors considered the effect of the sale on the group.
It says this is notwithstanding the fact that MTN was not a party to the sale and did not provide any form of financial assistance.
"Having reviewed the sale agreement and all other relevant documentation, the committee has determined that the sale will not have an adverse impact on the MTN Group."
The group says it has withdrawn its cautionary notice as all the conditions to the sale have been fulfilled.
It points out that this does not affect a further cautionary notice issued on 8 January, which is still in effect and relates to talks about a potential deal involving some of MTN`s foreign assets.
Related stories:
Govt finalises R4.3b MTN deal
R4b MTN stake goes to staff
MTN in talks on foreign assets
Share
