Johannesburg-based mobile operator, Vodacom Group Limited, has announced a strategic repositioning of its Vodacom Business Africa (VBA) unit. The company entered into agreement to sell its Business Africa operations in Angola, Nigeria, Ghana, Angola and Ivory Coast, and intend partnering local buyers.
Vodacom, a subsidiary of the British multinational telecom conglomerate, Vodafone Group Plc, has given a nod to sell its Business Africa’s Angolan operations and assets to Internet Technologies Angola.
Synergy Communications will acquire 100 percent of Vodacom Business Africa (VBA) operations in Nigeria, Zambia and Ivory Coast, while Vodafone Ghana will take over VBA operations in Ghana.
The companies are in the process of concluding the acquisitions, which are subject to approval of regulatory authorities in the five markets.
Given this, the mobile operator will enter into service provider agreements with Synergy Communications in Nigeria, Zambia and Ivory Coast; International Technologies Angola (ITA) in Angola and Vodafone Ghana in Ghana.
In each of the five markets, the respective buyers will acquire all of the operations and assets held by Vodacom.
The company stated that it will no longer directly service global enterprise customers in the five markets, but will continue to operate as a Pan-African telecommunications network provider through local service provider agreements.
Vodacom’s chief executive officer, Shameel Joosub, explained that the repositioning of the company’s business Africa operations is to put the mobile operator on a path of sustainable growth, and doesn’t connote the shutting down operations in the said markets.
“Crucially, Vodacom is not exiting any of the territories related to this transaction and remain focused on continuing to deliver exceptional services to our global and multinational clients in these markets through long-term commercial agreements” said Joosub.
He added that the telecom company will through local service providers, will continue to service clients in each market, and leverage collective strengths to meet the changing requirements of each client across the five markets.
Vodacom noted that the new model aligns with digital technology and would foster better local collaboration. Synergy Communications has presence in Botswana, Mali and Mozambique, and the acquisition reflects its aspiration to be the leading provider of cloud and digital services in key markets across Sub-Saharan Africa.
From its roots in South Africa, Vodacom has grown its operations to include networks in Tanzania, Democratic Republic of Congo, Mozambique and Lesotho, and provide voice, messaging, data and converged services to over 50 million customers in more than 30 African countries.
Israel Odubola
