State ‘not selling part of stake’ in Denel
STATEOWNED arms manufacturer Denel has denied parts of the entity will be sold to ease its financial position.
The state arms producer was hit hard after weapons orders plummeted and half of its board jumped ship.
Defence and Military Veterans Minister Nosiviwe Mapisa-Nqakula insisted yesterday that no decision was made by the government to sell off part of its stake in Denel.
“In an event that such a decision is made, the government will have to carefully determine which parts of the company should be sold,” Mapisa-Nqakula said.
She expressed concern that media enquiries seemed to create the impression that the government was “leaning towards a specific direction with regard to the challenges facing Denel”.
“This may send a wrong message during sensitive negotiations on Denel’s financial situation. It is important that we conclude the discussions and that any decision made in this regard will be an outcome of this important consultation,” she said.” – 701316.