What if - Calling all Analysts

[online]

If MTN had to do a deal buying telkom assets what would the impact be on the Telkom share price and what would the impact be on the MTN share price if that be the case? Who can shed some light on this delema?

[Preston]

Positive news for both Telkom and MTN. MTN increased revenue growth arising from acquisition. The impact of this acqusition on MTN , is very little cos Acqusition could possible be funded by the BEE issue given to the Public. Telkom , increased cash inflow , loss of organic growth in customers. And hopefully tpossible cash given back to the shareholders. OMO

[Samir]

Preston, there was no new cash raised from the BEE. It wsa the PIC that sold its shares.

[Preston]

No Samir. Trust me when i say MTN did get the money.

[WBuffet]

MTN would substantially reduce its interconnection costs which would be positive for its bottom line. Furthermore, MTN would have access to corporate customers which would also be beneficial to its bottom line going forward.

[Samir]

Preston, pls do explain...