GTV-Zambia managing director, Chrispine Kagulurah, said in an interview yesterday that about 21,000 subscribers have been affected by the closure of the company.
The termination of services follows a decision by the London-based parent company, Gateway Broadcast Services, to go into voluntary liquidation due to the global financial crisis.
“Gateway Broadcast Services announced today (Friday) that its Board of Directors has unanimously approved a plan to liquidate the company. The current financial and global crisis has severely interrupted the company’s ability to secure further funding for the continued operation of the business,” a company spokesman said in a statement released yesterday.
“The company has worked extensively with external advisors and all internal resources to investigate, evaluate and analyse strategic alternatives for the company to further continue to operate. In determining to approve the company’s Plan of Liquidation, the board and management carefully reviewed the advice and findings,” he said.
Gateway Broadcast Services, which supplied the GTV service to subscribers across Africa, has over the last 2 years invested a total of US$200 million.
“The economic crisis that has emerged globally over the last few months has caused excessive demands on the business,” the spokesman said.
He also said that the company realised the negative impact this has had on customers, creditors and staff, and that efforts were made to keep the company going “but we are all the unfortunate victims of the current global economic crisis”.
Mr Kagulurah said that 22 countries in Africa were affected by the decision.
He said that decision was a particularly big blow for Zambia because the company was viable and growing. He said, however, that GTV-Zambia could not operate independently because its content was controlled by the parent company in London.
Mr Kagulurah said that the decision to terminate operations caught him by surprise as he and mangers in other countries were only informed of the decision at 16:45 hours on Friday through a tele-conference.
He said all the workers would be paid their separation packages but he could not commit himself on refunds to subscribers.
GTV subscribers expressed shock at the sudden closure of the station.
One of the subscribers, Mr Henry Ngulube, said Government should have measures to safeguard citizens from such abrupt closures.
Another subscriber, Mr John Mwansa said: “I hope GTV management will do something quickly in order to have this station back. Is GTV going to pay back our monies?
[Zambia Daily Mail]
Credit Crunch hits home hard again. I wonder if they will refund all those that paid two months in advance. I wonder if that GRZ is recording how Zambians are losing jobs.. I wonder how they intend to collect taxes is Zambians keep on lossing jobs .
Ama investors mwatemwa!
Expected I think
I THINK WE HAVE BEEN CONNED BY THESE GUYS. CANT SEEM TO UNDERSTAND THE REASONS ADVANCED FOR THE LIQUIDATION…. GTV WERE THIEVES….
Sad development. I never even heard of GTV before.
ha ha ha :-\” I wont miss GTV
How do you expect a corporate to survive with relatives for employees?
I knew it.They just sold the Telecommunication part of their business to Vodacom of south africa for $700 million two weeks ago.Vodacom refused to buy the broadcasting subsidiary .
Too bad
This is why I do not like the excitement about these investors.
Not affected, i sold mine knowning the fake infestors
Utu ntemba twa la fula, there are no JOB’s !!!!!
The samethings keeps on happening over and over again,look at suprime furnitures,smart centre just but to mention a few,they all closed,i wounder if pipo look at the seriousness of these companies before they are given licences,they are just after making profit then they live,thats why they dont build permanent structures,more job losess.shame GTV
#2 walasa ifima investors ubuteko bwesu bwatemwa fyalenga abantu ukulusa amachito chabulanda sana
GTV basically sucks.
<:-p who are they ;;)
What a disaster!!! and yet our incompetent administration was claiming that Zambia won’t be affected by the global financial crisis.More shocking news yet to come…
I knew it “ati ishi nimbwalala”. The more reason as to why i stood with DSTV. One could tell from the quality of their equipment. Coming in with a BANG!! Which one. BA SAWE!! [-(
Sad developmen. 300 is too big a number.
I’m happy i changed to another satelite TV last month. i hope they don’t do the same thing.
I am sure you will agree with my statement I made some one or two weeks ago about the so called investors. Please, let these people build there own structures so that when they leave at least we are left with structures and not posters!
The GRZ will not even help poor Zedians to get their benefits, believe.
Mr. Finance minister, your budget is affected now! Look for proper investors and not infesters.
Free advise to the Zambian government as I always give, LET YOUR SO CALLED INVESTORS HAVE A SECURITY DEPOSIT WHICH CAN BE USED IN SITUATION LIKE THIS TO PAY THE AFFECTED.
Felix Mutati plse speak yo good english it should b serious investors.Not just short term investors.
Warning to all !
So let us not be paying in advance for such services with this so called economic reccession instead buy more meali meal and pay your monthly 3 pin to ZNBC to avoid disappointments.
Was GTV-Zambia not insulated against such an eventuality? I remember when BCCI was ordered to wind up due some fraud our local bank was insulated against decisions made abroad. Company was localized and its asset portfolio met the local legal requirements. As such jobs and clients’ money were protected. It is shocking to hear that Kagulurah is not hinting at refunding those subscribers that had paid for the service in advance. This is day light robbery! But knowing our govt. and its CA nothing will done to make GTV accountable. This is test case for Communication Authority to act, its not about limiting the coverage area of Radio Icengelo or MUVI TV that will make people appreciate you.
Kagulula should be prosecuted for not cheating Zambians to subsribe to a kantemba kind of a company.
Sorry,i meant for Kagulula for cheating Zambins.
Sorry,i meant for Kagulula for cheating Zambian.
There is need to critically look at our investment act. If the local GTV was doing okay, why should a decision made in the UK affect it. BCCI just transformed to Union Bank. Why shouldn’t this apply to GTV. I am certain that they don’t even have any local assets to talk about. :d
Aweeeee mwandini,twanaka nama shotliving investors!
#25-27 [-( ??
Guide our nation LORD jesus.
when bringing these investors in, consequences should be weighed, obviously this one did not outweigh the good ones no one saw it coming so sudden, my heart goes to those subscribers who paid in advance, the money could have been used for something useful and also to the affected employees and their families.
G tv :((
Companies going out of business and new companies being created is a natural part of the business cycle. People should get used to it instead of trying to regulate it. If GTV had not come to Zambia, there would have been 300 less jobs for many years.
:o:o ..I THINK THEY MADE THERE PROFIT Anyway ,Tizayamba kutamba MUVI-TV.For those who lost there Jobs. Insansa kuchinjana:o:o:o
fake fake fake :((:((:((:((:((:((
we have so much crop of qualified zambians who can take up the change . please show your potential. grz should not be seen running business the citizens must run businesses the enabling environment is there and what are they waiting for ? dont just be arm-chair critics be part of the developmental chair
but ine nindabwa kanshi there was even a GTV pa Z,ekupesha :d
Genuine investment can only be achieved if Zambians themselves takes active roles in management of most Zambian companies. But firstly, GRZ should level the playing ground so that Zambians abroad can start coming together and invest in Zambia.
Abrupt closure is not a good way of managing crisis. You have to carefully implement decisions that come out of a crisis meeting. GTV has allowed its self to cause more crisis to the loyal customers. This is unforyunate
Was GTV’s closure certain?With rapid expansion in the shortest time possible, any serious person would have cast a dark cloud on this. Using the principles of investment decisions, when finances are over stretched, there automatically comes the problem of over trading. So much invested in the shortest time possible, and returns expected immediatly. This is not possible. Companies have to learn the sources of competitive advantage-cost leadership and differentiation.
Oh God! What is happening in my beloved country? Why closing?Why didn’t they just cut some jobs instead of closing it.Mwati twalapusuka ka Economic crisis iyi,and these investors are now using it as an excuse.Oh Lord help us mwandini.
Matworld
LT award winner for :-j:-j:-j:-j.
owners of GTV were great young African entrepreneurs (oldest was 39) that convinced large European and US PE and venture fund managers to support them in their quest. To win the bid to cover 80% of the premier league against DSTV was no easy task.
Unfortunately the private money they had wanted out of Africa (there will be other companies that will follow) and so they had no choice but to sell the business. Its a shame but its a new world…look at the LuSE companies – strong profits and falling share prices
It was not GTV Zambia that was shut down but the whole damn Group…nothing Zed can do – just like in the mining sector. Any Zambians with balls should go and buy these assets :-0 instead of just talking and complaining
I just paid my hard earned cash for the subscription to GTV only to be informed that the services have been terminated with immediate effect…colonialists will never change, they only show up in different forms…I JUST WANT MY MONEY BACK!
What? Not a mention of football? 🙁
GTV subscribers expressed shock at the sudden closure of the station.
Still dreaming guys you like new style pa Zed i will be with Multi choice for better for worse long live Multi Choice Long live pa Zed
:)>-
What a shame! This is what happens when you hijack well intended business just to make quick profits. People, can you remember how these guys came onthe scene? They only emerged after realising that DSTV was making a fortune as a result of having the rights to brodcast european soccer in Africa etc. They were favoured with the majority rights over DSTV but here it is they have failed to profitably operate their enterprise even when some of their operations were profitable like the Zambian one. Shame! But can someone tell me, can’t the workers do a management buy out and continue with the operations of course after all the necessary formatlities are done with Siliya’s ministry?
People is there anything we can do so that such a thing does not happen with DSTV? I know ther is the cosumer fimo fimo!
Latest news, GRZ refused to include GTV on tax free Gateway Broadcast Services
Let alone poor kwachanaires pa Zed who like to be cheated for GTV
😮 😮
MultiChoice is now set to exploit the Zambian subscribers withuot any competition.
I FEEL LIKE I HAVE BEEN SWINDLED
That is why I should do something about this sector when I come home 😕
YOUN ARE RIGHT LUAPULA…THE TYPICAL CAPITALISTS WILL NOW MAXIMISE THEIR EXPLOITATION…NO COMPETITION
GTV itself was not a bad idea: after such a long and unfortunate DSTv monopoly, Gtv anxieties were understood and justified. What most TV subscribers were looking for was NOT quality TV as some people are alleging;people simply wanted to have satellite dishes outside their homes!! Prestige has exposed folly.
And another thing: Despite a thick CV with credentials in banking and real estate, Chris Kagulurah was not yet adequately groomed to run a media company. There is a difference between opening and closing peoples’ bank accounts and running a subscriber TV station.
Kagulurah cut his teeth on the sub-continent, not in Europe and the US, where cost cutters are treated like semi-gods.
GTV,too bad 300 people have lost their jobs.But RB has said that 10,000 jobs are coming.Uyu mudala ukubwata bwata bwafya sana.You the problem with most of these investors is that ,when the world was not facing such a problem they were making huge profits. But they are not just willing to pump in that money to causion the impact of the poor global financial crisis.Am saying poor because its like even Characters who wanted to run away before even the financial crisis started to be felt,are giving that as an excuse. Unless some one tells me that people around the world are loosing their jobs,and hence unable to subscribe to Gtv. Therefore causing GTV to loose customers and eventually unable to make profit.Maybe that explaination can convince me otherwise i dont see how GTV has been affected.Elo bena yali nibola,80% rights to show english league.
I can only say too very sad bad.lets be scrutinising these investors be fore we expose our poor people to international crooks.
If RBS, HSBC, AIG, CITIBank can go on their knees what about the no name brands
ka kagulurah nikakelenka nakena.
You are not looking at the big picture.
china oyee! Oyeeeeee!-
We are doomed.
Hah…!! 😕
Daylight heist!!!!!!!
Daylight heist by TV!!!!!!
Wapya Munzi!
The Zambian part of GTV cannot operate without the support of the parent company because all the content is supplied by the parent company. GTV was supposed to have its own setallites to cover Africa because it was too expensive. they could not rent transponder space on exsiting satellites as this would marginalise their over-all bussines plan and there was encrption issues.
I remember very well late last year Former finance minister Mr MAGANDE when he lied to the Nation that financial global crisis will not affect zambia, i believe he never considered issues of people losing employement like this at GTV during this crush.Despite having little money in the reserves banks of Zambia lose of employement is just one of the serious effect of global financial crisis we are facing today, and thats what magande and his folks were missing to understand.
#68,we have always told the Magande and Fundanga fanatics,that these people know nothing.
No more sport TV in Zambia and DSTV is happy
During the boomtimes every chap with a job was buying a car. Today cars are so cheap in Zed, they are even exporing them. Plots and house, ha.. wait you will see. They will be at the real value soon instead of prices like you are buying a house in london but it is in 3rd world zambia.
Sorry to those affected in Zambia.
Over One Thousand miners working for Konkola Copper Mines (KCM) and Mopani Copper Mines (MCM) will lose their jobs by mid this month.
Mine Workers Union of Zambia (MUZ) President Rayford Mbulu has confirmed the development.
He says KCM will lay off about 667 workers while Mopani will cut 682 jobs at Mufulira and Nkana divisions in the next few weeks.
M. Mbulu said this when he featured on ZNBC’s Kwacha Good morning programme.
He has urged government to quickly curtail further job losses in the mining sector.
Mr. Mbulu said Zambia should emulate some countries in the west that are bailing out companies affected by the global financial downturn.
The local mining sector has re
The local mining sector has recorded high job losses following a decline in metal prices and the negative effects of the global financial recession.
:((
Its good it is gone. There was nothing to show on GTV. Too much talk and poor service. Just stay with DSTV.
:((iam missing my football epl is dstv going to grt thr rights
These guys seem to have been caught out by the failure of their parent company. It seems to me that they were profitable but they cannot continue without their content provider – their parent company. I don’t think it is right to demonise the directors. They provided jobs, but things have gone pear-shaped. That’s how the cookie crumbles. Those who are anti-investor should probably put their money where their mouths are.
let us hope DSTV wont follow suite pantu TVZ sorry to say men am a patriot we should face that fact don’t get me wrongly tvz sucks despites those 3pins we pay it still sucks. we can do alot on our own on improving programming for example we can up with our own sitcoms of high quality we have the capacity i don’t know why znbc management hasn’t thought up something yet.
I am happy GTv is a UK based company!! Bazungus are even worse off than Chinese. At least Chinese are not pulling out!
Who, then, holds the rights to broadcast The Barclays Premier League in Zambia?
Unfortunately most people here have missed the point in the report. GTV has gone under not because of unprofitable operations in Zambia but because of the global recession, comprenez vous? Now get off the poor Zambians’ backs!
Malaika – Zedians dont read…as they say, the best place to hide something from a black man is in a book!!! let it be
I have read all said by customers of GTV.We as staff from PTA office in SA of GTV loved & lived for GTV.We heard when u all did of the closing.As a team, we just sat there & cried & soluted GTV with a glass of wine.Country agents were our friends.We feel we lost a family.Today we pack all away & lock our offices for good.No work, no money, but we hold our heads high with pride.GTV & it’s clients were loyal.To all out there, thank you!All we wish for now is that our friends & staff in the African counties stay safe.Please look after them.Regards Iris (GTV Pretoria, SA)
I only hope MultiChoice will now get the right to broadcast the Premier League games, if they dont go under too!!!
They have shared whatever is coming out of the closure. Its not easily acceptable to believe that a company that big and aggressive can close shop that fast without any info reaching govt depts. Recall the day we heard that shoprite was closing? The chain dept store is still running becoz govt blocked the boxes that were to be used to transport their merchandise (lol). How come GTV has made off with lots of subscriptions?
Credit crunch or not, bagabana
Its such a shame that so many people have lost their jobs across Africa and indeed in the Uk because of the owners negligence. I find it odd that a company can nose dive so quickly after claiming it was growing…it seems the MD in the UK has simply looked to make money quickly and then cut and run leaving peoples lives ruined. Its disgusting. He wouldnt get away with it in the UK so how come he has in Africa?? The GMs in country werent even told till 2 hours before the system was switched off!! The fault lies squarely at the feet of the MD, Julian Mcintyre.
This globle chaos that others are taking advantage is making all ill,lets go farming for consuption and sale.When u have food u cant go wrong.
as that guy ceasar said so eloquently…”et tu brutus”. and now the same can be said here….”et tu GTV”
GTV just came to destroy. DSTV was doing fine with broadcasting mathes until they came. We want our matches back on DSTV. And that is the end result of Govt generated investors.
85. Boona has hit the nail on the head.
The head honcho in London is totally responsible for this screw up and needs investigating.
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