R754 million boost for two of the biggest fibre companies in South Africa
Sabvest Capital has announced plans to acquire 8.97% stakes in Frogfoot and Vox, two of South Africa’s largest fibre internet providers.
The R5.5 billion company announced that it would spend R754 million on the transaction, based on an enterprise value of R14.4 billion for Frogfoot and Vox.
“Sabcap has undertaken to subscribe for new shares in Frogfoot and Vox for an aggregate cash subscription of R754 million and will thereafter hold an interest of not less than 8,97% in the Companies,” Sabcap said.
“[The transaction] is based on an enterprise value of R14.4 billion being ascribed to the Companies, which implies a combined after-debt equity value of R8.4 billion.”
Frogfoot and Vox are both private companies in South Africa and have the same shareholders, with Frogfoot handling fibre infrastructure and Vox working directly with consumers.
Currently, Frogfoot is the fourth largest Fibre Network Operator (FNO) in South Africa, having been established 25 years ago.
Vox is a national internet service provider serving both businesses and households, offering a range of services, including fibre-to-the-home.
As of 31 August 2025, Frogfoot and Vox reported net losses after tax of R256 million and a negative net asset value of R665 million.
Sabcap said that its investment in the companies would help grow an established group with experienced management teams and support expansion opportunities.
It highlighted expansion efforts into low-LSM markets in South Africa, which it saw as offering a particular opportunity.
“The Companies are a well-established, growing group of businesses with excellent and experienced
management in a growing market, with particular opportunities to expand into servicing the low LSM
segment in South Africa,” it said.
The company also said that the additional capital would materially strengthen the company and accelerate the expansion process.
It noted that the deal would bring in experienced investors to support the companies, which can work with the existing management teams.
“The Composite Transaction brings together high-quality financial investors, some of whom have many
years of experience as investors in the Companies, in support of an experienced management team whose interests will be further aligned with those of shareholders,” it said.
The transaction has been approved by the boards of directors of both Frogfoot and Vox, and all relevant agreements have been executed for the investment.
The transaction date for Sabvest’s investment is 1 October 2026, subject to all relevant agreements being made before 24 September 2026.
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