ICASA consults on iBurst sale

28 Jul 2015

The Independent Communications Authority of South Africa (ICASA) has opened a public consultation on the proposed acquisition of South African broadband operator iBurst and its parent company Wireless Business Solutions (WBS) by technology company Multisource, TechCentral reports. The regulator confirmed that it received an application for the approval of the acquisition on 8 June 2015. In its submission, Multisource has undertaken that WBS will remain the holder of all licences issued to it by ICASA. Further, the authority highlighted that copies of all written comments must also be sent to WBS, which has been given the right and additional time to respond to them.

As previously reported by TeleGeography’s CommsUpdate, in October 2014 David Hilewitz, director of WBS, confirmed that an unnamed bidder has made a firm offer to acquire the company. Shortly after, Multisource was revealed as the successful bidder, with a due diligence process subsequently completed in February 2015. The internet service provider (ISP) iBurst had previously been linked to acquisition talks with MTN South Africa and Dimension Data; in August 2013 Dimension Data was said to have offered ZAR250 million (USD22.6 million) for the unit, but the bid was rejected.

South Africa, Independent Communications Authority South Africa (ICASA), Rain (Multisource/WBS)