MTN buying Telkom has plenty regulatory hurdles

Analysis of the Telkom/MTN deal, and a look at SA’s potential grey listing and the impact of inflation on consumers.


FNB’s Thabiso Mamathuba chats markets and the Telkom/MTN deal. Jeanine De Swardt-Breeds from Masthead on SA’s potential grey listing: What, why and how? Andrew Smythe from NMG Benefits talks the impact of inflation on consumers.

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Granted, there will be regulatory hurdles for MTN but they can all be legally navigated. The foreseen disadvantages of the MTN’s horizontal acquisition may be as follows −

1. Culture conflicts between MTN and Telkom.
2. Job cuts/ increase in unemployment.
3. Clash of objectives between the two.
4. Low productivity.
5. MTN’s or Telkom’s employee morale may decrease..
6. MTN’s brand value can be damaged.
7. Efficiency problems.

http://www.gestaldt.com

End of comments.

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