EOH aims to wrap up investigation by end-May
The embattled tech company hired law firm ENSafrica to review all the company’s large, historical licensing contracts with the state
EOH, whose shares dipped below R10 for the first time in more than nine years on Wednesday, said investigations into its dealings with the state will be wrapped up by the end of May. “Investigations are expected to be completed by May 31 2019, with a report being made available thereafter,” EOH said on Wednesday. The group, which was worth R25.2bn in late 2016 after growing through a series of acquisitions, has been plagued by reputational concerns related to government contracts in recent years. This has reduced its market capitalisation to just R1.9bn. Microsoft recently cut ties with the technology company, allegedly because of a tip-off about a contract it had with SA’s defence department. The US software giant was said to have ended EOH's “channel partner agreement” status because of allegations of corruption linked to a software supply contract between the state department and EOH Mthombo. In January, Eskom dealt another blow to EOH’s share price when it said its former chief ...
Would you like to comment on this article?
Sign up (it's quick and free) or sign in now.
Please read our Comment Policy before commenting.
Subscribe now to unlock this article.
Support BusinessLIVE’s award-winning journalism for R129 per month (digital access only).
There’s never been a more important time to support independent journalism in SA. Our subscription packages now offer an ad-free experience for readers.
Cancel anytime.
Questions? Email helpdesk@businesslive.co.za or call 0860 52 52 00. Got a subscription voucher? Redeem it now.