JOHANNESBURG: Oakbay Investments, the main company owned by South Africa's infamous Gupta brothers, said it would sell its media assets. It said the sale of its stakes in newspaper New Age, and ANN7 television news channel would give its owners time to focus on clearing their name “in the face of unfounded media allegations”.
Oakbay released a statement saying, “Under a new majority shareholder, Oakbay believes that both businesses and their employees will have the bright and prosperous future they deserve. The sale will also allow the shareholder the time to focus on clearing its name in the face of unfounded media allegations.” The deal, which is expected to conclude over the next few weeks, would be funded by loans provided by Oakbay.
Senior members from the ruling African National Congress have accused the Guptas of using Zuma's links to wield influence and win businesses. The people involved, however, deny any wrongdoing. While the company did not go into detail on the allegations of influence-peddling that have swamped the government, media reports accuse the Guptas of using their media arms to spread a divisive PR campaign backing Zuma.
Oakbay said it would sell its stake in ANN7 for 300 million rand and its holdings in the New Age for 150 million rand, to privately held Lodidox, a company controlled by former government spokesman Mzwanele Manyi. Four of the country's largest banks have severed links with Guptas' Oakbay, citing severe risks to their reputation amidst the scandal.
