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Vumatel acquires Fibrehoods

Staff Writer
By Staff Writer, ITWeb
Johannesburg, 20 Oct 2016
The Fibrehoods network complements Vumatel's network footprint with little overlap, says Vumatel CEO Niel Schoeman.
The Fibrehoods network complements Vumatel's network footprint with little overlap, says Vumatel CEO Niel Schoeman.

Vumatel has acquired fibre-to-the-home (FTTH) company Fibrehoods, for an undisclosed amount.

Vumatel CEO Niel Schoeman says the acquisition will help his company accelerate and build a connected South Africa faster.

"The Fibrehoods network complements Vumatel's network footprint with little overlap. Through Fibrehoods, we gain more capability to expand into new suburbs quicker. There are also ancillary benefits that we gain from economies of scale," he adds.

Vumatel plans to complete its fibre infrastructure roll-out across Johannesburg by the third quarter of 2017. The fibre provider says it plans to integrate the two businesses over time, but it will not happen immediately.

"For now, the companies will still operate as separate businesses and we will manage the integration only once we are happy that it can happen smoothly," Schoeman says.

The acquisition will allow Vumatel to expand its fibre footprint into Atholl, Beverley Gardens, Bordeaux North, Bordeaux South, Bryanston Ext. 3, Craighall, Craighall Park, Dunkeld, Dunkeld West, Elton Hill, Illovo, Inanda, Lyme Park, Norwood, Oaklands, Orchards, Rivonia, Savoy, Vandia Grove, Waverley and Winston Ridge.

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