Telkom unloads Multi-Links

TELECOMS

|
Image: By Visafone, Multi-Links
Telkom unloads Multi-Links

South African telecoms giant Telkom is selling its Multi-Links business to Nigeria’ s Visafone.

Telkom issued a statement announcing that its board had mandated management to review options for the exit of the CDMA business of Multi-Links Telecommunications Limited.

It said Telkom and Visafone Communications Limited had entered into a legally binding agreement regarding the sale of the Multi-Links’ CDMA business to Visafone for an enterprise value of USD52 million.

The transaction is conditional on inter-alia regulatory approvals. Upon the successful closing of the transaction, Telkom will retain Multi-Links’ fibre network and fixed line operations in Nigeria.

When Telkom began buying up shared of Multi-Links in 2007, it said the move was in line with its strategy of expanding into African markets with major growth potential.

By the time it had acquired all shares in Multi-Links, Telkom had spent over USD400 million on the purchase. By late last year, Multi-Links was reported to have racked up over USD600 million in losses since 2007.

Visafone was born out of the strategic acquisition of three CDMA mobile network operators. It was incorporated in Nigeria in 2007 and offers mobile, fixed and any other telecommunications service to its subscribers. It now has over three million subscribers.

Jeffrey Hedberg, former Acting Group Chief Executive Officer of Telkom said: “ We are pleased to announce the successful conclusion of realigning our business model to focus on our core competencies. Telkom management is of the opinion that the sale of the Multi-Links’ CDMA business to Visafone represents the best option available to our shareholders and Multi-Links’ customers.”

Jim Ovia, Founder and Chairman of Visafone commented: “ Visafone recognises that this deal will solidify its position in the Nigerian marketplace and is committed to offering world-class voice and data solutions to existing Multi-Links customers.”



Share the News

Get Daily Newsletter

comments powered by Disqus

MORE TELECOMS NEWS

MTN Ghana named Telecoms Company of the year

MTN Ghana emerged the winner in categories like Mobile Operator of the Year, Mobile Money Service of the Year, Customer Service Company of the Year and Cloud Company of the Year at this year’s Ghana Telecoms Awards.  Read More

Etisalat warns of disruption to network over fuel scarcity

Etisalat Nigeria has joined other mobile network operators (MNOs) in Nigeria to warn its subscribers that its services may start experiencing glitches due to the ongoing fuel scarcity. Read More

Nigerian fuel scarcity threatens telecoms

The ongoing fuel scarcity in Nigeria, where many enterprises rely on generators to stay operational, is threatening the delivery of telecoms services. Read More

NCC halts MTN’s new tariff plans

The Nigerian Communications Commission (NCC) has halted a tariff plan called MTN TruTalk+ saying it did not give any approval for such service.  Read More

Significant improvements in network quality for Tigo customers on Accra-Takoradi route

Following the upgrade of its Microwave backbone between Accra and Takoradi telecom operator Tigo says its customers along the stretch will continue to enjoy a seamless connection every time there is a fibre cut.  Read More

Airtel staff take to streets with ‘too much’ combo packs

A team of staff and management of Airtel Ghana has embarked a rigorous concentrated market blitz to promote the company’s newly outdoored innovative product – “Too Much”. Read More

WIOCC, Dalkom Somalia win service innovation award

WIOCC and its shareholder Dalkom Somalia have won the Wholesale Service Innovation Award at the Global Telecoms Business (GTB) Innovation Awards Summit 2015 for bringing direct, high-capacity, international connectivity to Somalia for the first time. Read More

UNGC renews Safaricom CEO term

The United Nations Secretary General Ban Ki Moon has renewed Safaricom CEO Bob Collymore’s term as a Board Member of the United Nations Global Compact (UNGC).   Read More

ITU marks 150th anniversary with global celebrations

ITU celebrated its 150th anniversary on 17 May, marking a long and illustrious history at the cutting edge of communication technologies. Read More

Airtel launches MPLS for enterprise customers

In a significant move aimed at enhancing connectivity options for its corporate customers, leading telecommunications service provider Airtel Nigeria has launched a secure Multiprotocol Label Switching (MPLS) network aimed at facilitating superior and cost effective branch connectivity both locally and globally. Read More

PRESS OFFICES

Sage ERP AfricaSAP AfricaSage Pastel AccountingTrust PayVMWareSamsung ElectronicsMitsumi DistributionPhoenix DistributionMTN BusinessSchneider ElectricMultichoiceMicrosoft 4Afrika

FEATURED STORY

The transformative power of affordable smartphones and unlimited data in GhanaThe transformative power of affordable smartphones and unlimited data in Ghana

Smartphones are helping transform their lives of ordinary people in Ghana, Reports Nana Appiah Acquaye.

IN DEPTH

NIMC infrastructure must be managed by credible people: NIMC chiefNIMC infrastructure must be managed by credible people: NIMC chief

NIMC’s chief speaks to Kokumo Goodie about the role of the NIMC and his own legacy.