Huge Group is merging independent telco company Otel with its networks business, Huge Networks.
Huge Networks is a subsidiary company of the JSE-listed Huge Group and a data service provider and communications company. Otel is a provider of Voice over Internet Protocol (VoIP) and broadband Infrastructure-as-a-Service telecommunications solutions.
The transactions were implemented on 14 March 2019 and the Otel brand will be migrated to the Huge Networks brand during the course of 2019.
The transactions expand both the national reach and footprint of Huge, while also increasing its network capacity and connectivity options and allowing for network synergies and efficiencies. The Transactions are expected to be revenue accretive for Huge Networks.
The VoIP and related products and services acquired through the Transactions allows Huge Networks to become a more substantial provider of end-to-end ICT services.
It will also provide Huge Networks with an opportunity to enter new customer segments. Economies of scale leveraged from the Transactions will allow Huge Networks to provide its customers with a diversity of cost-effective ICT products and services, the company said.
Huge has as a customer real estate of circa 45 000 and over 120 000 connected devices, providing it with one of the largest platforms for IoT in Southern Africa. In addition, this platform optimally positions Huge to conceive, develop and distribute a suite of Fintech offerings.