Ricochet News

Sapa shutting down

Sapa shutting down

News agency Sapa (South African Press Association) has announced that it will be sending out its last story at midnight on March 31st. Originally started as a non-profit wire news agency in 1938, the company’s board announced late yesterday afternoon, that it can no longer afford to run with the non-profit model.

“After the disposal of the assets the company will be liquidated and its operations will cease on 31 March 2015," Sapa chairperson and Media24’s general manager of all English publications, Minette Ferreira, said in a statement, adding that the decision about the company’s future had already been taken in September last year.

“It really became clear to the board that to keep the business in its current format would become increasingly difficult if not impossible.”

She also added that due to Sapa being a non-profit company, it could not be paid off and that independent auditing and financial firm, Nkonki Incorporated, has been appointed to help with the sale of the company assists.

Three companies, Gallo Images, KMM Review Publishers, and Sekunjalo Investments Holdings are reported to have shown interest in purchasing Sapa.

Ferreira maintained that the needs and interest of all Sapa employees was paramount to the board and that “current subscribers would in due course be briefed on the plans and approached directly by the operators of the new syndication business.”