Telkom and BCX today welcomed the recommendation by the Competition Commission to approve Telkom’s proposed acquisition of Business Connection (BCX).
The Competition Commission has made the recommendation subject to the imposition of certain conditions, to be met by both parties. Telkom and BCX remain committed to the proposed transaction and will engage and work with the necessary regulatory bodies as required.
“We believe the proposed acquisition will assist Telkom with its strategy to grow beyond its core business of connectivity by expanding into ICT services. This will enable our business to further enhance and grow its existing
offerings, while at the same time providing scale in IT services. It will also help to reinforce the company’s core connectivity business and enhance Telkom’s convergence strategy,” says Sipho Maseko, Telkom group CEO.
Maseko says the proposed transaction will leverage Telkom’s expertise to further address the technology and telecommunications requirements of all the company’s clients and customers in South Africa and elsewhere in Africa.
The customer landscape for both Telkom and BCX has changed with only minimal overlaps today and, as a combined entity, will offer a number of potential benefits for stakeholders, the industry at large as well as advance the interests of South Africa and its consumers.
Maseko also affirms that Telkom intends to remain a long-term investor in BCX. Telkom has a strong commitment to social development and ongoing transformation goals, including broad-based BEE and the ICT Charter; it also supports the South African government’s objectives and policies regarding transformation in the ICT sector