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Broadband Infraco told to prepare for sale

24 Jun 2015

South African state-owned fibre-optic infrastructure provider Broadband Infraco has reportedly been directed by the Department of Telecommunications and Postal Services (DTPS) to undertake a valuation exercise in preparation for its possible sale, TechCentral reports. The DTPS was cited as saying in documents sent out to MPs: ‘Broadband Infraco is currently reviewing its business and financial plans … Engagements are taking place between government and the [Industrial Development Corporation] as the 26% shareholder in Broadband Infraco [to] share views on the future of the company.’

TeleGeography notes that Broadband Infraco, which manages infrastructure rollouts to underserved areas on behalf of the government, is owned by the Department of Public Enterprises (74%) and the Industrial Development Corporation. As of March 2014 (latest available data), the company was presiding over 14,000km of fibre-optic cable routes connecting Gauteng (including Johannesburg and Pretoria) to the major metropolitan centres of Bloemfontein, Kimberley, Cape Town, Port Elizabeth, East London, Durban, Nelspruit and Polokwane, with 158 Points of Presence (PoPs) countrywide.

South Africa, Broadband Infraco, Department of Communications and Digital Technologies (DCDT)

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