{"id":10996,"date":"2012-06-01T22:30:56","date_gmt":"2012-06-01T20:30:56","guid":{"rendered":"http:\/\/www.myza.co.za\/06\/s-africa-stocks-drop-as-investors-hang-up-on-telkom\/"},"modified":"2012-06-01T22:30:56","modified_gmt":"2012-06-01T20:30:56","slug":"s-africa-stocks-drop-as-investors-hang-up-on-telkom","status":"publish","type":"post","link":"https:\/\/www.myza.co.za\/press\/s-africa-stocks-drop-as-investors-hang-up-on-telkom\/","title":{"rendered":"S.Africa stocks drop as investors hang up on Telkom"},"content":{"rendered":"<p>\t\t<span><\/span><\/p>\n<p><span class=\"articleLocation\">JOHANNESBURG, June 1<\/span> (Reuters) &#8211; South African stocks fell<br \/>\nslightly on Friday as investors sold off shares in fixed-line<br \/>\noperator Telkom after the government said it would not<br \/>\nback its partnership with South Korean KT Corp.<span><\/span><\/p>\n<p><span><\/span><\/p>\n<p>Stocks were also swept up in an investor stampede to cash<br \/>\nand secure government bonds after U.S. jobs data pointed to<br \/>\nslower growth in the world&#8217;s largest economy.<\/p>\n<p><span><\/span><\/p>\n<p>The benchmark JSE Top-40 index fell 0.14 percent to<br \/>\n29,161.0 and the broader All-share index was 0.11<br \/>\npercent lower to 33,107.46.<\/p>\n<p><span><\/span><\/p>\n<p>Shares in Telkom dropped 8.34 percent to 21 rand &#8211; hitting<br \/>\nan eight-year low in the session.<\/p>\n<p><span><\/span><\/p>\n<p>The move was prompted by its largest shareholder, the South<br \/>\nAfrican government, rejecting a deal seen as a lifeline for<br \/>\nTelkom&#8217;s ailing fortunes hit by the decline in traditional<br \/>\ntelephone usage and failed expansion in Nigeria.<\/p>\n<p><span><\/span><\/p>\n<p>South Korea&#8217;s No. 2 mobile operator last month cut its offer<br \/>\nfor a 20 percent stake in Telkom by nearly a third, bringing the<br \/>\ntotal sale value down to about 3.3 billion rand ($385.5<br \/>\nmillion).<\/p>\n<p><span><\/span><\/p>\n<p>&#8220;With the reduced price, the government feels that selling<br \/>\nTelkom at this price would be a give away,&#8221; said Dobek Pater, a<br \/>\ntelecoms analyst at consultancy Africa Analysis.<\/p>\n<p><span><\/span><\/p>\n<p>Pater said the government may be betting on Telkom&#8217;s<br \/>\nperformance to improve, which would then boost the sale price.<\/p>\n<p><span><\/span><\/p>\n<p>The Telkom woes helped spur a broader market sell off made<br \/>\nworse by more signs of stuttering global growth.<br \/>\n\u00a0 <span class=\"label\"><strong>Continued&#8230;<\/strong><\/span><\/p>\n<p><span><\/span><\/p>\n","protected":false},"excerpt":{"rendered":"<p>JOHANNESBURG, June 1 (Reuters) &#8211; South African stocks fell slightly on Friday as investors sold off shares in fixed-line operator Telkom after the government said it would not back its partnership with South Korean KT Corp. Stocks were also swept up in an investor stampede to cash and secure government bonds after U.S. jobs data [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_genesis_hide_title":false,"_genesis_hide_breadcrumbs":false,"_genesis_hide_singular_image":false,"_genesis_hide_footer_widgets":false,"_genesis_custom_body_class":"","_genesis_custom_post_class":"","_genesis_layout":"","ngg_post_thumbnail":0,"_jetpack_memberships_contains_paid_content":false,"footnotes":"","jetpack_publicize_message":"","jetpack_publicize_feature_enabled":true,"jetpack_social_post_already_shared":false,"jetpack_social_options":{"image_generator_settings":{"template":"highway","default_image_id":0,"font":"","enabled":false},"version":2}},"categories":[1],"tags":[830,2370,183],"class_list":{"0":"post-10996","1":"post","2":"type-post","3":"status-publish","4":"format-standard","6":"category-south-africa","7":"tag-news","8":"tag-reuters","9":"tag-south-africa-2","10":"entry"},"jetpack_publicize_connections":[],"jetpack_featured_media_url":"","jetpack_sharing_enabled":true,"_links":{"self":[{"href":"https:\/\/www.myza.co.za\/press\/wp-json\/wp\/v2\/posts\/10996","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.myza.co.za\/press\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.myza.co.za\/press\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.myza.co.za\/press\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.myza.co.za\/press\/wp-json\/wp\/v2\/comments?post=10996"}],"version-history":[{"count":0,"href":"https:\/\/www.myza.co.za\/press\/wp-json\/wp\/v2\/posts\/10996\/revisions"}],"wp:attachment":[{"href":"https:\/\/www.myza.co.za\/press\/wp-json\/wp\/v2\/media?parent=10996"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.myza.co.za\/press\/wp-json\/wp\/v2\/categories?post=10996"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.myza.co.za\/press\/wp-json\/wp\/v2\/tags?post=10996"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}