A R900 Million Tender Battle Is Brewing Between MTN And Sapo

MTN was allegedly meant to bag the tender but Sapo decided to cancel the tender last year in February, without giving reasons for the cancellation.

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MTN Store (Delareyville Sellular)
MTN Store (Delareyville Sellular) (Photo Credit: Wiki Village)

A court battle is brewing over a R900 million South African Post Office (Sapo) tender that was allegedly supposed to be awarded to MTN but ended up being given to Telkom, according to a report in the City Press.

The newspaper reported that the contract was for the upgrade of Sapo network facilities.

MTN was allegedly meant to bag the tender but Sapo decided to cancel the tender last year in February, without giving reasons for the cancellation.

However, when Sapo got the SA Social Security Agency (Sassa) contract, it awarded a contract to Telkom that allegedly included some of the services from the initial tender.

Mthokozisi Ndlovu, MTN spokesperson, told City Press that the company did not receive a reason for the cancellation of the contract last year and had still not received the required information.

“MTN requested certain information from Sapo regarding the cancellation of the tender but it has not been provided yet,” he said, adding that the company had not made a decision on whether to pursue the matter in court.

“MTN is waiting for the requested information so that it can make an informed decision,” Ndlovu said.

For more read: Sapo, MTN to fight over R900m tender

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