A better than expected 10 bids were submitted yesterday for the 19% black empowerment stake in the second national phone operator, although three were disqualified for not submitting the R75 000 entrance fee.
The qualifying applicants are Aruna Telecoms, Buatel, Gondwana Telecommunications, Nexus Connection, OneTel, Reliance Networks, and Uningizane Ozi Thingo.
Those disqualified for not meeting the basic requirements of the invitation to apply were Megale Communications, Boursel Holdings and Intshinga Holdings.
The Independent Communications Authority of SA (ICASA) says it will process the applications in accordance with the invitation to apply, and if there are any changes to the process it will notify the public accordingly.
The black empowerment stake comprises 19% of the second operator. A 30% stake has been earmarked for Eskom and Transnet, both of which have their own extensive infrastructure, and the remaining 51% has been reserved for local and international bidders.
Eskom Enterprises finalised a R400 million contract with Siemens Information & Communications Group in November for the roll-out of fibre optic network infrastructure in preparation for the deregulation of the industry.
The invitation to apply for the 51% stake has not yet been issued, although it is expected to be announced soon. A road show was held in Europe and Asia last year, and this is where the main interest is expected to be generated when the bidding process begins.
An ICASA spokesman says the process should be completed in the latter part of this year, which means the monopoly held by Telkom, due to expire on 7 May, will be extended at least until then.
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