Telecom
Liquid Telecom & RBH Agree to Acquire Neotel
On Tuesday, Liquid Telecom, a privately owned Pan-African telecoms group majority owned by Econet Global, announced that it has entered into an agreement to acquire South African communications network operator Neotel.
The shareholders of Neotel –Tata Communications of India and minority shareholders led by Nexus Connexion (Nexus) – have agreed for Liquid Telecom to acquire Neotel for ZAR 6.55bn.
Liquid Telecom is partnering with Royal Bafokeng Holdings (RBH), a South African investment group, which has committed to take a 30% equity stake in Neotel.
The transaction, which is subject to regulatory approvals, is transformative and will create the largest pan-African broadband network.
Through a single access point, businesses across Africa will be able to access 40 000kms of cross-border, metro and access fibre networks. These currently span 12 countries from South Africa to Kenya, with further expansion planned.
Commenting on the transaction, Nic Rudnick, Liquid Telecom CEO, said: “We are excited about this transaction. Leveraging the strengths of Liquid Telecom, RBH and Neotel, we will offer an unprecedented fibre network with a unique set of services and international connectivity for telecom operators and enterprises across sub-Saharan Africa. For the first time, African companies will be able to connect with each other in a cost effective and reliable way, all on a single fibre network. We will also be increasing investments into Neotel to cater for rapidly accelerating mobile and enterprise traffic, enabling us to launch exciting new products and services.”
Albertinah Kekana, Royal Bafokeng Holdings CEO, said: “This transaction is part of our diversification strategy and its focus on infrastructure is in line with our objective to invest in high growth sectors. As a long term investor, we are pleased to be partnering with Liquid Telecom who has a very credible track record in rolling out fibre in challenging and diverse markets. This deal represents our long-term investment approach and our commitment to the African growth story.”
Speaking on behalf of Tata Communications, Neotel’s majority shareholder, Vinod Kumar, MD and CEO, said: “Liquid Telecom is the right partner for the next phase of Neotel’s evolution. Convergence of technologies and services will be the key driver of growth across the globe and this transaction will encourage inclusion and support the growth aspirations of the African continent. We believe that Liquid Telecom will deliver on the vision of a well-connected Africa, which will augur well for the South African telecom industry and Neotel’s customers.”
Nexus, Neotel’s minority shareholder, also welcomed the transaction.
Speaking on behalf of Nexus, Kennedy Memani, said: “We welcome this transaction with Liquid Telecom and RBH. It will see the sale of Neotel to new shareholders who have the vision, expertise and funding to continue to grow the company and to allow it to reach its full potential in South Africa and across the African Continent. We are confident that customers and employees will benefit from the transaction and from the resulting stability and business expansion.”
The transaction is subject to approval by South African regulatory authorities and is expected to be completed later this year.
Liquid Telecom was advised by The Standard Bank of South Africa Limited (lead advisor, mandated lead arranger and global coordinator) and UBS.
Liquid Telecom is a subsidiary of the privately held and diversified telecommunications group Econet Wireless Global.
With over 1000 employees, Liquid Telecom is the leading independent data, voice and Internet provider operating across Eastern, Central and Southern Africa.
It supplies fibre optic, satellite and international carrier services to Africa’s largest mobile network operators, Internet service providers and businesses of all sizes. It also provides payment solutions to financial institutions and retailers, as well as data storage and communication solutions to businesses worldwide.
Econet is also a diversified telecommunications group with operations and investments in Africa, Europe, South America, and the East Asian Pacific Rim.
It offers products and services in the core areas of mobile and fixed telephony services, broadband, satellite, optical fibre, and mobile payments.
Strive Masiyiwa is the founder and Chairman of Econet Wireless, as well as of Liquid Telecom.
He was recognised by Fortune Magazine’s annual “World’s 50 Greatest Leaders” in 2013 at 35 on the list
RBH is a community based investment company and is the primary investment vehicle of the Royal Bafokeng Nation (RBN), a community of approximately 150 000 Setswana-speaking people with substantial minerals-rich land holdings in South Africa’s North West Province.
The Royal Bafokeng Development Trust is the sole shareholder of RBH, whose investment activities are aimed at generating the income required for the funding of sustainable projects that will benefit the Bafokeng community.
RBH has assets spread across the mining, financial services, infrastructure, oil and gas services, and industrial sectors. As at 31 December 2015, RBH net asset value was R32bn.
While Tata Communications Limited (CIN no: L64200MH1986PLC039266) along with its subsidiaries (Tata Communications) is a leading global provider of A New World of Communications™. With a leadership position in emerging markets, Tata Communications leverages its advanced solutions capabilities and domain expertise across its global and pan-India network to deliver managed solutions to multi-national enterprises, service providers and Indian consumers.
The Tata Communications global network includes one of the most advanced and largest submarine cable networks and a Tier-1 IP network with connectivity to more than 240 countries and territories across 400 PoPs, as well as nearly 1 million square feet of data centre and collocation space worldwide.
Neotel, however, offers tailored, innovative solutions based on voice, internet and data services to help large and small businesses and ECS/ECNS licensees to drive down communication costs, increase productivity and gain competitive advantage.
Neotel has rolled out an extensive metro and national long-distance next generation network, powered by a high-performance fibre optic core with availability exceeding 99.999%.
Neotel operates Tier 3 Data Centres in Johannesburg and Cape Town and directly connects the major centres in South Africa to the world via all 5 undersea cables. Neotel offers fresh thinking, a collaborative approach and a willingness to help its customers challenge the status quo. Leveraging its global reach, people and partners, Neotel delivers superior Network and Managed Services through continuous innovation, world-class technology and exceptional customer service. Neotel – because better communication inspires possibilities.
Also mentioned in the acquistion deal is Nexus, a broad-based BEE structure, comprising of the following shareholders amongst others, SADTU and NEHAWU, Nozala, Youth Groups and various other provincial shareholders. It was funded by IDC and DBSA and have been involved with Neotel since inception.
The founder of Nexus Connexion, Kennedy Memani has also served as a Director of Neotel over the duration of investment working side by side with Tata Communications Limited (TCL).
Association of Licensed Telecoms Operators of Nigeria (ALTON), has decried persistent challenges such as vandalism, high operating costs, and regulatory bottlenecks threatening service delivery despite recent improvements in investment inflows.
Gbenga Adebayo, chairman, ALTON, warned that the continuous attack are putting strains on Nigeria’s telecom sector which serve as the backbone of the country’s economic and digital systems,
Adebayo, speaking in an interview on ARISE News, described telecommunications as the critical foundation supporting all sectors of the economy.
“Telecom operators are the infrastructure of infrastructures that supports all other sectors,” he said, stressing that the industry remains central to power, transport, security, and financial services.
Adebayo noted that the recent 50% tariff adjustment has helped restore investor confidence in the sector after years of underinvestment.
“It has restored confidence in the sector… we are seeing investment, we are seeing now the impact of that investment,” he said, adding that the sector is now beginning to recover gradually.
But, he warned that improvements in service quality remain constrained by multiple external challenges, including vandalism, insecurity, and regulatory bottlenecks.
“Things can be better… but there are also other external factors… vandalism, behavior of public actors, behavior of non-state actors,” he explained.
Adebayo highlighted the scale of infrastructure damage, particularly on fibre networks, noting a major disparity between international and domestic connectivity routes.
“The fiber optic in the Atlantic… has witnessed probably one outage in two years… the one running from Lagos to Kano, we record an average of about 40 cuts a day,” he said.
He explained that such disruptions significantly increase operating costs and affect service quality across the country.
Beyond vandalism, he pointed to theft of telecom equipment such as batteries and generators, as well as security challenges that prevent timely restoration of services in some regions.
“Issue of security… people are stealing batteries, they’re stealing generators,” he said, noting that some areas remain inaccessible during outages until security conditions improve.
Adebayo also called for urgent reforms in right-of-way charges and taxation policies, arguing that telecom infrastructure should be treated as essential national infrastructure.
“Right of way should become free of charge across the country… issue of multiple taxation… it has to be a thing of the past,” he stated.
On rising energy costs, he said operators are gradually adopting hybrid and renewable energy solutions, although the transition is slow and still exposed to vandalism risks.
“We are doing a lot on renewable energy and providing hybrid solution… but that takes time,” he said.
Adebayo concluded that while policy support and investment inflows are improving the outlook of the sector, sustainable progress will depend on stronger protection of telecom infrastructure and coordinated action among government, regulators, and communities to address vandalism, insecurity, and regulatory inefficiencies.
Ride-hailing company Uber has introduced a new feature that allows users to book hotel rooms directly through its app, as part of its strategy to evolve into a broader lifestyle and services platform.
Uber announced that the hotel booking service is being launched in partnership with Expedia Group, giving users access to more than 700,000 hotel properties worldwide.
The company said the collaboration is also expected to expand in future to include short-term rental listings from Vrbo.
According to Uber, the hotel booking tool offers features similar to traditional online travel platforms, including destination search, maps, and filters based on pricing, amenities and guest ratings.
Users can also complete bookings using payment information already saved on the app.
Speaking during a presentation in New York City, Uber Chief Executive Officer, Dara Khosrowshahi, said the company was broadening its offerings beyond transportation and food delivery.
“We’re no longer just an app for rides, or even a family of apps for rides and eats. Uber is now an app for everything,” he said.
Chief Executive Officer of Expedia, Ariane Gorin, said the partnership was aimed at simplifying travel planning for users.
“Together, we can reduce the number of steps, save people time and money,” she said.
Uber’s latest move builds on its expansion strategy which began with the launch of Uber Eats in 2014.
Initially focused on food delivery, Uber Eats has since expanded into retail services, allowing customers to order products such as cosmetics, groceries and electronics.
Industry analysts say the development reflects the growing global trend toward “super apps” — digital platforms that combine multiple everyday services within one ecosystem.
This model is already widely adopted in markets such as China, where platforms like WeChat and Alipay integrate messaging, payments, travel bookings and e-commerce services.
Competitors are also broadening their offerings.
For instance, Airbnb has expanded beyond accommodation to include bookable local experiences, wellness services and mobility options.
Uber also disclosed plans to integrate more artificial intelligence-powered tools into its platform.
The company said upcoming features would enable users to plan meals, generate shopping lists and arrange deliveries through conversational prompts, while a voice assistant is also in development to support hands-free navigation within the app.
National Economic Council (NEC) of Nigeria has officially approved 112 as the unified, toll-free national emergency number to streamline responses to security, medical, fire, and natural disasters.
It is part of measures to strengthen Nigeria’s emergency lifeline and build a unified and coordinated national response to emergencies.
NEC also approved the establishment of a multi-agency implementation committee and programme coordination led by the Office of the Vice President and the National Communications Commission (NCC).
The approval was part of decisions taken at the 157th meeting of the NEC held virtually and chaired by Vice President Kashim Shettima.
Shettima said the 112 emergency lifeline had become necessary to prevent delay caused by bureaucratic bottlenecks, noting that what the citizens seek urgently when confronted by a natural disaster or insecurity is an urgent response and not bureaucracy.
“This is not only a technical reform. It is a test of the state’s humanity. In moments of fire, accident, robbery, medical emergency, flood, violence, or panic, citizens do not need bureaucracy.
“They need a response. They need to know one number to call, one system to trust, and one coordinated chain of action that moves quickly enough to save lives,” he stated.
He explained that while Nigeria is not beginning from zero, as the emergency number had been in existence, what is required at the moment “is coordination, adoption, standard operating procedures, public awareness, institutional ownership, and trust”.
The vice president described NEC as the nation’s economic engine room, where the federal government and the states must convert the Renewed Hope Agenda of President Bola Tinubu into practical outcomes.
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