The SABC could be headed for business rescue

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According to reports, the SABC is in financial distress and could be forced to apply for business rescue.

The Sunday Times reports that the national broadcaster looks set to announce losses of more than R1 billion for the past financial year. The constant loadshedding and the state of the economy were some of the things the national broadcaster attributed to its financial turmoil. CFO Yolande van Biljon has warned that in the worst-case scenario, the broadcaster might have to follow the route of the South African Post Office to avoid liquidation.

 

“The business rescue application that [the Post Office] is currently contemplating is going to become a very real consideration unless other sources of funding or support [are] identified and confirmed as a matter of urgency in the medium to longer term, while in the short term, immediate significant interventions that are in the corporation’s control are required,” van Biljoen wrote in a memorandum. In light of SABC being owed billions of rands by the public in TV license fees, listeners shared their experiences with paying or not paying these fees.

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