Vodacom and Neotel deal falls through
According to mobile operator Vodacom, its deal to acquire fixed telco group Neotel has fallen through. Vodacom originally agreed to buy Neotel from Tata Communications in May 2014.
Vodacom said the restructured agreement between itself and Neotel could not progress, after a missed deadline to finalise it. In addition, they ran into regularity troubles, along with certain conditions not being filled n the agreement. The deal was further impeded by competition inquiries, with Telkom and MTN having appealed against the merger. In light of this, Vodacom restructured the deal.
Shameel Joosub (pictured), Vodacom CEO, said it was disappointing for the matter to have concluded this way, despite all of the efforts to find a way to deal with the complexities of the restructured transaction. However, he said the company's ambition to increase the rollout of fibre-based broadband services to customers remains.