S.Africa's PIC eyes Telkom Media

JOHANNESBURG Aug 5 (Reuters) - A consortium including a fund linked to the Public Investment Corporation (PIC) -- South Africa's state pension administrator -- has emerged as the frontrunner to acquire a stake in Telkom Media, a local newspaper reported on Tuesday.

Telkom (TKGJ.J), which has a 66 percent stake in Telkom Media, said two months ago it was in the process of selling its investment, and had identified a potential investor to take over a substantial portion of the stake.

The consortium, which includes fund manager Harith, "could buy between 31 percent and 34 percent", Business Report said on Tuesday, citing sources close to the negotiations.

It added that the consortium has seven members, one of which is said to be either Nokia (NOK1V.HE) or Ericsson (ERICb.ST).

Harith investors include PIC, the Developmenet Bank of Southern Africa, Absa Bank (ASAJ.J), Old Mutual (OMLJ.J), and the African Development Bank.

The newspaper said Harith has raised $625 million through a Pan African Infrastructure Development Fund to invest in regional infrastructure development across the continent focusing on transport, telecoms and sanitation. (Reporting by Gugulakhe Lourie; Editing by David Cowell)