Vodacom Gateway Mauritius has been given the go-ahead by the Zambian Competition Commission (ZCC) for a 100% takeover of Internet service provider AfriConnect Zambia.
Richard Boorman, Vodacom's executive head of communications, explains that the acquisition marks the company's plans to drive the growth of converged services across the content.
“Vodacom's Gateway business already has an established position in more than 40 African countries, and the acquisition of AfriConnect, in Zambia, helps us to expand this footprint,” he continues.
The mobile operator acquired Gateway Communications in 2008. Vodacom Gateway provides a range of connectivity and enterprise communications solutions to large African and multinational corporations operating across the region.
According to the Zambian Post, the ZCC said it would allow the acquisition as it believed such a transaction would not lead to a negative impact on competition in the provision of Internet services in the country.
The ZCC stated that AfriConnect is the country's third-largest Internet service provider, with a 9.3% market share, behind market leader Zamtel (35.78%) and second-placed Zamnet (35.23%).
The value of the transaction has not been disclosed.
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