South African Post Office's Business Rescue Costs Over R175 Million

  • 📰 mybroadband
  • ⏱ Reading Time:
  • 34 sec. here
  • 9 min. at publisher
  • 📊 Quality Score:
  • News: 41%
  • Publisher: 67%

Business Rescue Costs News

South African Post Office,Sapo,Business Rescue

The South African Post Office (Sapo) incurred over R175 million in costs during its 13-month business rescue period. According to communications minister Solly Malatsi, the costs include R6.73 million paid to senior business rescue practitioners and R144 million spent on a team of consultants. These figures do not include VAT.

This is according to a parliamentary question posed to communications and digital technologies minister Solly Malatsi.

“The BRPs are accompanied by a team of legal professionals, consultants and specialist advisers who charge an hourly tariff based on their professional tariffs and level of seniority,” Malatsi told Parliament. The minister was also questioned about the financial “zero-day” the BRPs said Sapo would reach at the end of October if it did not receive a R3.8 billion bailout from the national fiscus.

However, Sapo needs the R3.8 billion to pay statutory and payroll creditors, who will receive an additional 18 cents per rand dividends. Two of the three retrenchment package payouts have already been made, with the third scheduled for November this year.

We have summarized this news so that you can read it quickly. If you are interested in the news, you can read the full text here. Read more:

 /  🏆 11. in BUSİNESS
 

Thank you for your comment. Your comment will be published after being reviewed.
Please try again later.

Business Business Latest News, Business Business Headlines