Telkom raised R1bn last week via its domestic medium-term note programme, which it used to refinance maturing debts. "Investor demand continues to reflect strong interest in Telkom paper as we continue to diversify our sources of funding," a spokesman for the company told Business Day. The partially state-owned telecommunications group raised R346m through a six-month bond maturing September 2018, at a coupon of 7.84%. It also issued a 12-month bond worth R654m due March 2019, with the coupon rate set at 95 basis points above the three-month Johannesburg interbank average rate. Telkom fully redeemed two bonds worth a combined R797m last week. At the end of September 2017, Telkom’s net debt to earnings before interest, taxes, depreciation and amortisation (ebitda) ratio was 0.7. The group, which has mostly local debt, said it planned to keep net debt to ebitda below 1.0 in the full financial year ending March 2018. "Despite the increase in net debt, including financial assets and lia...

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