AKFED’s Seacom telecom business poised for major growth through acquisitions

2 December 2016

Mergers, Acquisitions and Financial Results

Seacom says it will pursue acquisitions as it looks to target fibre-to-the business in metro areas in South Africa.

Speaking to journalists at the group’s head office in Johannesburg on Wednesday, CEO Byron Clatterbuck said: “We are looking for partners through acquisitions.’

Seacom’s shareholders include Remgro (30%), Sanlam (15%), Convergence Partners (15%), Kenya’s Aga Khan Foundation (30%) and founder Brian Herlihy (10%).

Seacom currently leases dark fibre from a number of providers, and will also look to trench its own fibre in certain areas as it targets growing commercial parks. “Last mile is the key value capture,”said Clatterbuck.

“In our industry, you need to capture as much revenue as you can…get as much traffic on your network as you can,” he said.

The submarine cable operator, which has a network of submarine and terrestrial high-speed fibre-optic cable serving the East and West coasts of Africa, launched its enterprise unit at the back end of last year.

The company said it has signed up 1,000 direct and indirect customers since its launch in October 2015, including Allan Gray, Outsurance, Dischem, Alexander Forbes, Prudential, and Coronation.

Source: Ismailimail 1 December 2016