WBS, the parent company of iBurst, is currently in discussions with three different players regarding a possible acquisition deal, and is considering one offer made to the company.<\/p>\n
This is according to WBS director, David Hilewitz.<\/p>\n
The company was previously linked to acquisition talks with Dimension Data and MTN, but Hilewitz said that the current offer is not from either of these companies.<\/p>\n
In August 2013, it was reported that Dimension Data offered R250 million for WBS, but that offer was rejected, with shareholders seeking R500 million.<\/p>\n
iBurst assets include spectrum in the 1,800MHz band, along with an established wireless network with high sites, and an extensive microwave backhaul network.<\/p>\n
Hilewitz made it clear to MyBroadband that no deal has been concluded, and that they are not even certain whether they want to sell the company.<\/p>\n
\u201cWe are really comfortable owning WBS\/iBurst,\u201d said Hilewitz, adding that the company is EBIDTA and cash flow positive.<\/p>\n
With iBurst\u2019s valuable assets \u2013 notably its spectrum and extensive network \u2013 it is not surprising that it is an acquisition target for many telecoms players in South Africa.<\/p>\n
An acquisition, however, is only one of the options which WBS is considering.<\/p>\n
Hilewitz said that they are also looking at building an LTE network using their spectrum, and then partnering for the use of this network.<\/p>\n
WBS shareholder Thami Mtshali stepped down as iBurst CEO recently, and was replaced in an acting capacity by Clinton Holroyd.<\/p>\n
Hilewitz said that Mtshali\u2019s departure was very amicable, and that he remains a large shareholder in WBS and a director at the company.<\/p>\n
This article first appeared on MyBroadband<\/a><\/p>\n iBurst CEO steps down<\/strong><\/a><\/p>\nMore on iBurst<\/h3>\n