Vodacom/Maziv merger approval a pivotal milestone in telecoms evolution
The approval by the Competition Appeal Court of the Vodacom/Maziv merger marks a critical milestone in South Africa’s telecommunications landscape, paving the way for major capital investment and accelerated fibre rollout across South Africa.
In August, South Africa’s Competition Appeal Court approved the deal following extensive negotiations between the merging parties and the Competition Commission.
This had resulted in revised conditions intended to strike a balance between encouraging investment and safeguarding fair competition.
“This approval marks a pivotal milestone in South Africa’s telecoms evolution. It frees us to harness substantial capital and accelerate fibre rollout while embedding the customer-centric conditions we have championed from the start,” said Maziv Group CEO Dietlof Mare.
“With this approval, regulatory work in progress and capital that will become available, we are ready to scale our fibre network, extend affordable uncapped fibre access and create lasting economic value.”
As part of the merger conditions, Maziv has committed to spending at least R12-billion over the next five years earmarked for broadband infrastructure expansion and maintenance, particularly in underserved areas.
This includes fibre expansion into underserved low-income areas, clinics, libraries and schools, bringing reliable, high-speed connectivity to spaces essential for learning, safety and community development, and building on Maziv’s existing school connectivity programme that currently connects over 950 schools with free 1 Gb/s uncapped fibre.
These commitments are coupled with open access requirements, affordable broadband options for low-income households and transformation measures that support small-, medium-sized and microenterprise (SMME) growth, employee benefit and community upliftment.
Maziv is prioritising accessibility and affordability as a cornerstone of its rollout strategy, along with maintaining open access and non-discrimination across its network.
“Conditions attached to the merger transaction ensure smaller Internet service providers retain access to fibre infrastructure, ensuring that consumers continue to have choice and that competition remains healthy and fair,” Mare continued.
Commitments to enterprise development, employee empowerment and SMME growth initiatives, central to the agreement, are expected to generate new jobs opportunities, unlock entrepreneurial opportunities and build long-term economic resilience and inclusivity in local communities.
“This merger is not just about growth: it is about building an equitable digital future for all South Africans, whether it is the maths teacher in Mitchell’s Plain tutoring children online, or the gogo in Alexandra helping her grandchildren with homework,” Mare said.
The merger remains subject to final regulatory sign-off from the Independent Communications Authority of South Africa, with whom Maziv is actively engaging to ensure a swift final approval.
“We are confident of a positive outcome. Our regulatory engagement has been transparent and constructive, and we will engage constructively to secure the final approval and begin delivery on the promises to South Africans.”
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