Shameel Joosub, CEO of Vodacom Group
Johannesburg, South Africa, June 21, 2019//-Vodacom Group today announced a strategic repositioning of its Vodacom Business Africa operations that will result in three separate share purchase agreements involving its enterprise businesses in Nigeria, Zambia, Angola, Ghana and Cote d’Ivoire.
Subject to various regulatory and statutory body approvals, Vodacom will enter into service provider agreements with Synergy Communications in Nigeria, Zambia and Cote d’Ivoire; Internet Technologies Angola (ITA) in Angola and Vodafone Ghana in Ghana.
In each of the five Vodacom Business Africa markets, the respective partners will acquire all of the operations and assets held by Vodacom. The various entities are in the process of concluding the required agreements, the financial terms of which are confidential.
The transactions support Vodacom Group’s enterprise strategy in Africa, which has been refocused to grow and strengthen its core business.
It will no longer directly service global enterprise customers in these five markets but will instead continue to operate as a pan African telecommunications network provider through local service provider agreements.
Shameel Joosub, CEO of Vodacom Group, said: “Vodacom has a clear vision for strengthening our position as a leading pan-African business and will work with local service providers to grow in these markets.
Crucially, Vodacom is not exiting any of the territories related to this transaction and remains focused on continuing to deliver exceptional service to our global and multinational clients in these markets through long-term commercial agreements.
To support the sustainable growth of pan African digital economies and building connected societies, Vodacom will, via local service providers, continue to service clients in each market. We seek to leverage our collective strengths to meet the changing requirements of clients across each of these markets.”
Vodacom went through a robust and lengthy process with numerous interested applicants to find the right partners to reposition its business on the continent. Synergy Communications and ITA were selected as the successful bidders, amongst other reasons, for their wealth of pan African experience.
The new model is better suited to the digital economy. It will encourage greater local collaboration and position Vodacom as one of the leading drivers of economic growth on the continent.
It will also provide pan African customers with the opportunity to access specialist business divisions such as Vodacom’s Internet of Things business as well as its subsidiary Mezzanine, a Mobile Business and Enterprise Solutions provider.
African Eye Report
