Telkom today ended weeks of speculation with an announcement that it is to seek approval from shareholders to wind up its payTV company Telkom Media.

In a statement released on SENS, the company says: "On 31 March 2008, Telkom announced its intention to significantly reduce its shareholding in Telkom Media. Since the above decision, Telkom Media has reduced its operational expenses and commitments to a minimum.
"An extensive process to identify potential buyers of Telkom`s interest in Telkom Media has proved unsuccessful.
"Telkom, a shareholder of Telkom Media, intends calling the necessary shareholder meetings to seek the approval for the winding up of Telkom Media. It is anticipated that the meeting will be held within the next 30 days.             
"To date, Telkom has fully impaired all of its investments in Telkom Media."      
Since gaining a payTV licence almost two years ago, Telkom has invested R326-million in the company. It also had to provide an impairment provision of R217-million.
Telkom owns 66% of Telkom Media. Other stakeholders include Videovision, MSG Afrika and WDB Investment Holdings.