Irish media firm INM to sell South African business for $227 mn

Irish media group Independent News & Media Plc (INM) yesterday agreed to sell its South African publishing business to a local consortium led by Sekunjalo Holdings for approximately 2 billion South African Rand (SAR) or around $227 million.

A final agreement is being signed, and the transaction will require INM shareholder approval as well as approval from South Africa's competition commission, INM said in a statement.

Cape Town-based Sekunjalo Group comprises companies and investment funds, with Sekunjalo Holdings being a private holding company and the controlling shareholder of Sekunjalo Investments Ltd.

Sekunjalo Holdings has investments in more than 70 private and public companies in Africa ranging from health care to telecoms, including significant stakes in Siemens, Nokia Siemens Networks, Mzimvubu Energy, African Resources, Siyolo Energy, African Resources, British Telecom and SAAB Defence.

Sekunjalo Holdings chairman Dr Iqbal Survé, a former African National Congress leader and Nelson Mandela's doctor, said yesterday, "I am delighted that I have the opportunity to bring these newspapers, this national asset, back to South Africa."

According to analysts, the agreed price tag is lower than the SAR 2.4-2.8 billion expected by the Irish company.