Zimbabwe's govt to acquire Telecel?

Mergers, Acquisitions and Financial Results

The Financial Gazette has reported that Zimbabwe's government is in negotiations with the intention to acquire telecommunications operators Telecel Zimbabwe.

According to the report the country's ICT Minister Supa Mandiwanzira confirmed the situation following recent media speculation around government's intentions to acquire the firm via its ISP unit ZARNet.

The publication makes reference to a Regulatory Order from Zimbabwe's Posts and Telecommunications Regulatory Authority (Potraz) which notes communication from Mandiwanzira allegedly accepting, on behalf of government, "a Global Telecom offer to sell its indirect 60% stake in Telecel."

Telecel Zimbabwe is acknowledged to be the second largest mobile phone network in the country and has over two million subscribers.

It is said to be jointly owned by VimpleCom and local consortium Empowerment Corporation.

The Minister is quoted as saying, "ZARNet is in the process of negotiating with the shareholders for an acquisition."

The publication makes the point that should the deal go ahead, the government would effectively control three mobile operator licenses, after TelOne and NetOne.

Another regional media outlet Technology Zimbabwe has quoted Obert Mandimika, Telecel Zimbabwe's communications and branding director as saying there is no official communication about the takeover and that discussions are at shareholder and government level.

Attempts to reach Telecel Zimbabwe for comment proved unsuccessful at the time of publishing.
Source: ITWeb Africa 16 July 2015