KT Corp and Telkom back in talks?

Telkom is believed to be back in talks with South Korean telecom company, KT Corp over the sale of internet service provider (ISP) iWayAfrica.

This is according to a report from Wall Street Journal, who cited a person familiar with the deal.

Established in 2010, iWayAfrica Limited is the result of the amalgamation of the Africa Online and MWEB Africa groups which were acquired by Telkom South Africa Limited in February 2007 and April 2009, respectively.

Telkom acquired MWEB Africa from Naspers for R624 million, and Africa Online for R150 million.

KT Corp has been actively courting a presence on the African continent, having dropped its bid to buy Vivendi S.A’s controlling stake in Maroc Telecom earlier this month, citing price as the main barrier to a way forward.

In June last year, the South Korean firm was blocked by the South African government for a 20% stake in Telkom.

“The iWayAfrica deal is almost done and is likely to be made public soon,” a source told The Wall Street Journal, while a price was not disclosed.

A KT Corp. spokesman told the US daily paper that iWayAfrica “is one of our considerations, but nothing has been decided.”

WSJ noted that a Telkom spokesman had earlier in April, denied that the company was in talks to sell iWayAfrica to KT Corp.

Telkom did not respond to an email from BusinessTech by the time of publication.

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KT Corp and Telkom back in talks?