Vodacom bids for Tanzanian telco: report
Vodacom has put in an offer to buy a controlling stake in Tanzania’s largest Internet provider Zantel, Bloomberg reports.
Zantel (Zanzibar Telecom) is 65% owned by UAE telco Emirates Telecommunications Corporation (Etisalat) and carries a reported value of $300 million.
The unit has also drawn bids from Bharti Airtel and Millicom International Cellular, Bloomberg said.
According to the report, the sale would provide the buyer with access to Zantel’s spectrum in the country, helping them to cope with a growing demand for data.
Vodacom is currently Tanzania’s largest mobile network operator with 11.3 million subscribers. Zantel has 1.8 million subscribers.
Vodacom has long expressed an interest in acquiring additional assets in Africa, with the group eyeing markets in Angola and Ethiopia.
In September, Vodacom chief of international business Romeo Kumalo told BusinessTech that the group saw “lots of interesting new markets” on the continent, but maintained that “the valuations aren’t right”.
Vodacom has an agreement with parent company Vodafone to stick within sub-Saharan Africa.
Vodacom’s current territories include Tanzania, DRC, Mozambique, and Lesotho, as well as South Africa.
The operator declined to comment.
Loading ...