With its new innovative and extremely creative ad on TV, Vodacom has proved to be the best running network in South Africa and with its new deal to purchase Neotel almost bagged.


Competitors are beginning to worry as Vodacom not only expands but they’re also making hay while the sun shines by proving they’re no “Slaap-Tiger”.

The take over is subject to compliance with a local ownership law and adherence to infrastructure and services. ICASA has been deliberating Vodacom’s proposal to purchase Neotel for about a year now and recently they have allowed Vodacom to proceed with the deal.

The offer put forward by Vodacom is a scorching R7 Billion! Stephen Mncube, Regulator’s Chairman at ICASA said that the take over will be subject to compliance with a local ownership law and adherence to terms regarding the roll-out of broadband infrastructure and services.

Vodacom has agreed to work with ICASA to finalise the conditions of the approval.

In May last year, Newbury, who owns the majority of Vodacom – went into an agreement to purchase Neotel from Tata communications of India. This deal will make Vodacom extend internet services for small-to-medium sized businesses.

Vodacom has one more obstacle before purchasing Neotel and that’s for the Competition Commission to rule on the deal as competitors such as Cell C and MTN are opposing to the purchase claiming that Vodacom will become too dominant.