The South African government is keen to privatise Broadband Infraco, which was set up in 2010 to build fibre networks in rural areas. Telkom, the 40% state-owned incumbent operator, has stopped talks about a takeover of the business, though earlier reports said a merger was “highly likely”.
DFA has confirmed to South Africa’s Business Day that it is “keen” to buy Broadband Infraco. Chief strategy officer Reshaad Sha told the newspaper: “DFA has been concentrating on building metro networks, but to have large-scale coverage, we will need to partner with a player that has national, long-distance coverage.”
In August, Vodacom spokesperson Byron Kennedy told South Africa’s News 24 that a sale of Broadband Infraco “would interest” the mobile operator, which is part-owned by the Vodafone group.
The South African government has not confirmed that it is selling all of Broadband Infraco or even a stake in the loss-making company.
DFA is also looking beyond South Africa’s borders for further fibre projects, Sha told Business Day.
