The government is looking to raise as much as R4bn from the sale of part of its 39% stake in Telkom to raise funds for the embattled South African Airways (SAA) and the South African Post Office (Sapo), according to two people familiar with the matter. The bulk of the shares in Telkom earmarked for sale will be bought by the Public Investment Corporation (PIC), said the people, who asked not to be identified as the deal hasn’t been finalised. The PIC, which manages the Government Employees Pension Fund, has agreed to increase its 11% stake in Telkom, they said. R4bn would be almost 16% of the company at current prices. A final decision hasn’t been made and details will be discussed by the government this week, said one of the people. Telkom staff may also be given the opportunity to buy some of the shares, a second person said. The government’s whole shareholding is worth more than R10bn and it would like to sell some of the Telkom stake to entities that aren’t already in the indust...
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