Vodacom CEO Shameel Joosub
Telecommunications giant Vodacom has abandoned its years-long R7-billion bid for converged network operator Neotel after regulatory complexities and the failure to fulfill certain conditions led to the restructured proposal’s lapse.
Last year, Vodacom undertook an eleventh-hour restructure of its bid proposal for Neotel to exclude the spectrum and Electronic Communications Network Services licences, besides others, choosing rather to focus on the converged network operator’s fixed-line assets, customer base and staff.
The spectrum was to be offered by Neotel to all network operators through roaming arrangements.
“It is disappointing that we have reached this conclusion despite all our efforts to find a way to deal with the complexities of the restructured transaction,” Vodacom CEO Shameel Joosub said in a statement on Tuesday.
“Our ambition to increase the roll out of fibre-based broadband services to customers remains. We will continue to look for spectrum opportunities, as well as opportunities to accelerate our fixed-line business.”