Telkom writes down value of legacy assets by ZAR12bn

Telkom South Africa has confirmed that it intends to write down the value of its assets by ZAR12 billion (USD1.2 billion) to reflect the company’s lower share price and implied net asset value. Other considerations include: ‘the returns from some of the legacy assets of the group which are below commercial norms as a consequence of technology changes, competition from mobile operators and an evolving regulatory landscape’, the Pretoria-based company said in an official press statement.