Author: Gugu Lourie

Notwithstanding that this recapitalisation enabled Cell C to “finance” the acquisition of shares by Blue Label through selling its own shares. With such earnings, Cell C’s top three executives have to be among the highest paid prescribed directors in the country’s lucrative mobile phone industry. Their pay might have even eclipsed that of MTN, Africa and the Middle East largest mobile phone company, which is known to handsomely reward its executives. The Cell C trio earned more than executives of Vodacom, the country’s largest cellphone operator – owned by British mobile phone giant Vodafone. In the 2017 financial year, Cell C’s…

Deon Fredericks has been appointed as struggling SAA’s interim chief financial officer (CFO) effective from 15 October. Fredericks is on secondment from Telkom – Africa’s largest integrated communications firm – to the national carrier for a 12-month period. He takes over from Robert (Bob) Head, whose contract as SAA Interim CFO ended on 30 September. So who is Deon Fredericks? He is Telkom’s chief investment officer and prior to that, he was the chief financial officer at the integrated communications firm for four years. Fredericks joined the then state-owned Telkom in 1993 as a senior manager in the internal audit…

The South African-based health, life and short-term insurance provider has been named in a new report by The Boston Consulting Group (BCG) as one of the global challengers posing threat to the established industry leaders. The report – titled “The 2018 BCG Global Challengers: Digital Leapfrogs” – is published today. The BCG Global Challengers list comprises 100 companies that are growing fast, globalising aggressively, and reshaping global industries. The global challengers must have an annual revenue of at least $1 billion (R12.6 billion), 1 000 or more employees, and growth rates that outpace their home market GDP or industry average.…

Uyandiswa, a start-up project management consultancy based in Johannesburg, is now generating about R100 million in turnover after benefiting from JSE listed software firm Adapt IT’s enterprise development programme. The start-up led and founded by Amanda Dambuza joined Adapt IT’s enterprise development programme in 2014. At the time, Adapt IT acquired 49% of Uyandiswa as part of a three-year programme. Benefiting from the programme, Uyandiswa has grown from a two-person business, helping Dambuza to build it into an 80 person-strong firm with a turnover nearing R100 million. To enable the business to grow further Adapt IT has sold back the…

The Minister of Telecommunications and Postal Services Siyabonga Cwele is planning to take ICASA to court over its decision to invite telecommunications firms to apply for the high demand radio frequency spectrum. “After considering the Invitation to Apply and on the advice of senior counsel, the Minister intends taking legal action to review the actions of ICASA,” the ministry said in a statement on Monday. The Minister’s decision follows two meetings held with the regulator on 15 and 19 July 2016 that failed to resolve the matter amicably. The ministry added that ICASA was furthermore not prepared to subject itself to…

MTN Nigeria announced on Wednesday that it has secured a ten-year frequency spectrum licence for the 2.6GHz band, which guarantees superior performance for wireless networks, especially 4G LTE services. The spectrum was awarded by the Nigerian Communications Commission (NCC), which announced MTN as sole approved bidder. Although Nigeria is one of 28 African countries that currently offer 4G/LTE services, the rate of penetration is restricted to a few major cities. As such, MTN’s success in this auction is a big boost to its plan to deliver global mobile broadband and LTE 4G services to over 60 million customers in Nigeria. MTN…

With talks to resolve the $3.9 billion fine slapped on MTN by the Nigerian authorities stalled, some pundits are calling on MTN acting executive chairman, Phuthuma Nhleko, and his team of executives at the Fairlands-based mobile phone giant to throw in the towel. However, the broader debate should focus on whether the standoff between MTN and Nigeria is good for Africa? At the moment, commentators in the mobile phone sector are generally allowing “gatekeepers” to control their cognitive maps. They are keeping the focus on individuals and instead of the bigger picture – which is that Africa is lagging behind…

The growth of the telecoms sector and the development of the country is dependent on the expeditious allocation of radio spectrum, which will enable operators to improve their service offerings by deploying new generation networks in line with customer requirements. MTN is encouraged by the strides that the regulator has made to finalise the process of spectrum allocation. However, MTN believes that speeding up the process will augur well for an improved and seamless customer experience, as operators will have the leeway to deploy new generation networks that will meet the increasing data needs and absorb increasing data traffic. Mteto…

South Africa’s telecommunications watchdog – the Independent Communications Authority of SA (ICASA) – faces a moment of truth as it finally takes a long-awaited decision to deal with the allocation of radio frequency spectrum to telcos. The watchdog has the unenviable task of deciding which firm gets the much-needed spectrum that telcos require to deploy faster wireless broadband to all South Africans. It is likely that interested parties, some whom have very deep pockets, will fight the regulator in courts if things don’t go their way. Some background: Icasa on Monday published the long-awaited information memorandum relating to the licensing…

Vodafone Group CEO on Wednesday squashed market talk that the South African government was planning to offload its 13.9% shareholding in the local subsidiary, Vodacom to raise funding for power utility Eskom. Speaking to reporters at a media briefing in Rosebank, the boss of Vodafone Group Vittorio Colao said: “I personally haven’t got any discussions on that topic (South Africa government selling its shareholding in Vodacom.) Market talk has suggested that the South African government was in a process of selling its stake to fund Eskom, which is facing major power generation problems and has funding shortfalls that run into…