Telkom will provide R1-billion to Business Connexion (BCX) as working capital to settle debts and fund further expansion.
In a statement, Telkom says: “This is aligned with our announced strategy of integrating our enterprise business with BCX as our go-to-market entity providing a truly converged business offering end to end solutions to our enterprise customers.”
The company will also provide R155-million in financial assistance to Acajou Investments, a 100% subsidiary that has been converted for purposes of housing and funding a new business venture in the digital gaming arena. The company will be renamed Digital Gaming League Holdings.
A centralised group treasury function has been created to fund group operations and growth.
The Telkom board has confirmed that the company will remain solvent and liquid after making these financial contributions.