Author: Gugu Lourie

As more and more transactions are performed digitally, less paper and coin money is needed – signalling the eventual disappearance of cash. This is a worldwide phenomenon that will only accelerate in the aftermath of the COVID-19 pandemic. “By creating the mechanism for touchless digital payments to be accepted by e-commerce players in the physical world, by merchants and by unmanned terminals we are well-positioned to address the needs of a changing payment landscape,” says Sameer Jooma, a non-executive director on the board of AuthGate. Jooma tells TechFinancials, in an exclusive interview that AuthGate is poised to be the next…

Two insiders on Wednesday told TechFinancials that Chinese investors are calling the shots at embattled mobile phone operator Cell C, which is in the process of retrenching its workforce. Notices of retrenchment show that the troubled telco is facing significant liquidity constraints. For more read: Debt-Ridden Cell C Serves Retrenchment Notices to 2500 Employees The notice seen by TechFinancials details the reasons for the retrenchments. It states that Cell C has consistently under-performed and has losses of about R33 billion over the years. This includes losses of R4.2 billion in 2019 and R7.3 billion in 2018. The company says it is currently facing significant…

TeleMasters is on a buying spree as the company has acquired three companies in about a month. The JSE listed company announced today that it has acquired a 100% shareholding in two local ICT companies. The company has acquired 100% of specialist networking systems integrator PerfectWorx Consulting, and specialist wholesale voice platform provider Contineo Virtual Communications, pending regulatory approval. PerfectWorx Consulting, launched in 2007, is a networking systems integrator specialising in next-generation IP technologies. The company is currently stepping up its partnerships and is expected to deliver growth. Contineo Virtual Communications is a provider of wholesale cloud communications in South…

The South African Social Security Agency (SASSA) announced on Tuesday it has paid 2,5 million people their R350 Social Relief Grant. “More than two and a half million applicants have already been paid so far from over 3.2 million who applied for the COVID-19 grant,” the agency said in a statement. “Updating the UIF database has brought such a relief to us and the affected beneficiaries, the numbers will rise daily until we have paid all deserving individuals who were previously declined”, said Totsie Memela SASSA CEO. She added that SASSA is working with the Department of  Social Development to finalise…

The South African Social Security Agency (SASSA) has promised to review the number of declined R350 COVID-19 Grant applications. SASSA said in a statement that it has taken a decision to relook declined COVID-19 grant applications and get to the bottom of the reasons for rejection. The high numbers involved raised questions and SASSA decided that it would be wise to reconsider these before subjecting them to an appeal process, which comes at a cost and resultant delays, given the urgency to pay out the grant during these trying times for poor people impacted negatively by the national shutdown, said…

Naspers, the South African-based tech and media giant – which owns global tech investor Prosus, seems to be better prepared to bear the impact of coronavirus. Late on Monday, Naspers informed investors that it closed its financial year on 31 March 2020 with more than $8.3 billion (R144 billion) of cash and cash equivalents (including short-term cash investments), net of $3.5 billion (R61 billion) of interest-bearing debt (excluding capitalised lease liabilities). The company has an undrawn $2.5 billion (R43 billion) revolving credit facility. Therefore, the company has a solid net cash position of $4.8 billion (R83 billion). The group said…

The consumer of today has been prompted by the COVID-19 pandemic to spend as little time as possible at a grocery shop or to find a way to shop without leaving home. So, having your grocery sent right to your doorstep is a brilliant option for those who are not willing to risk a trip to the shops. Admittedly, the online market is robust and difficult to crack. Fears of coronavirus have resulted in a surge in demand for grocery delivery. As the virus spreads, on-demand grocery delivery services in South Africa are seeing remarkable growth. Existing players are overwhelmed…

Vodacom announced on Friday the appointment of Sitho Mdlalose to the role of interim chief financial officer. His appointment is in effect from 1 July 2020. Mdlalose, 40, has BCompt and over 20 years of finance, management and consulting experience. He was appointed to the role of executive director of finance at Vodacom South Africa in 2017 having been the CFO: Vodacom International Business since 2014. He has held a number of senior executive roles at Vodacom / Vodafone since joining Vodafone Group in 2007 as a senior finance manager. The appointment of a permanent chief financial officer is well…

The Information Communication Technology Union (ICTU) has demanded that Cell C withdraw the retrenchment notice to workers. ICTU is an affiliate of the South African Federation of Trade Unions (SAFTU), which is led by Zwelinzima Vavi. The union is the sole worker representative at Cell C. Earlier today, the ICTU announced that Cell C has served retrenchment notices to all its 2 500 staff members. For more read: Debt-Ridden Cell C Serves Retrenchment Notices to 2500 Employees Today ICTU met with Cell C’s major shareholder, Blue Label Telecoms together with senior management of CellC. “Today’s urgent meeting, which was prioritized over…

The High Court case on the ban on the sale of tobacco products, e-cigarettes and related products is now expected to be heard in August. The North Gauteng High Court dismissed an application brought by the Fair-Trade Independent Tobacco Association (Fita) on Friday 26 June. British American Tobacco (BATSA) said on Friday it had received communication this morning that the application being brought by it and others against the ban had been listed for August 5 and 6. BATSA added that this is despite it agreeing, on the instructions of the Judge President, with the State President and COGTA Minister,…

Lexus SA will introduce the LC 500 Convertible in 2021 for the South African market and is sure to be a hit on the road due to its stylish and elegant design. The LC 500 Convertible will boast a naturally aspirated 5.0-liter V8 engine producing 351kW and 540Nm of torque at 4800 rpm. Mated to the DirectShift-10 automatic transmission, this engine gives the LC linear, yet invigorating acceleration. Power output is tuned according to driving style, with smooth acceleration character during normal commuting and aggression at the limit when the driver desires. The Lexus design team received a daunting challenge:…

Cinemas, restaurants, theatres and casinos can start operating again, albeit under strict conditions, after having closed for three months in the COVID-19 enforced lockdown. This comes after Cooperative Governance and Traditional Affairs (Cogta) Minister, Dr Nkosazana Dlamini Zuma, on Thursday signed and gazetted an amendment to the regulations for the advanced COVID-19 alert level 3 lockdown. In the regulation, the Ministry said these services may be provided subject to the strict adherence to all health protocols and social distancing measures, and following the directions to be issued by the responsible Minister, after consultation with the Minister of Health. “The regulations…

The Constitutional Court (ConCourt) has dismissed Telkom’s bid to be allowed to build cellphone masts and other related infrastructure at locations of its choice. The battle over cellphone masts between Telkom and the City of Cape Town dates to 2015 when Telkom wanted to improve its infrastructure to supply better services in the area. Telkom decided to build 135 cellular phone masts and rooftop stations. It identified a property that belonged to the estate of Birch Kalu as one of the sites suitable for erecting a mast. The property is in the suburb of Heathfield in Cape Town. Telkom concluded…

Embattled mobile phone operator Cell C is facing significant liquidity constraints, a notice of retrenchment shows. Cell C is in the process of retrenching its workforce. For more read: Debt-Ridden Cell C Serves Retrenchment Notices to 2500 Employees The notice seen by TechFinancials details the reasons for the retrenchments. It states that Cell C has consistently under-performed and generated as much as R33 billion in losses over the years including a R4.2 billion loss in 2019 versus R7.3 billion in 2018. “The company is currently facing significant liquidity constraints which have resulted in it defaulting on its obligations to lenders, shareholders, and…

The Information Communication Technology Union (ICTU) said on Friday that Cell C has served retrenchment notices to all its staff members. ICTU is an affiliate of the South African Federation of Trade Unions (SAFTU), which is led by Zwelinzima Vavi. The union is the sole worker representative at Cell C. “Today, ICTU is having a meeting with Cell C management and their major shareholder, Blue Label Telecoms, at their BLT offices in Sandton,” ICTU spokesperson, Thabang Mothelo, told TechFinancials. “Key issue is the possible retrenchment of 960 staff. All 2500 staff members have been served with retrenchment notices.” JSE-listed Blue Label Telecoms…

SASSA KwaMashu Local Office has been temporarily closed until further notice after an official tested positive for COVID-19. The Department of Health has been requested to conduct tests on all affected officials (31). Whilst awaiting results, these officials will be on self-isolation. SASSA management has arranged for the decontamination of the office concerned. “Clients are encouraged to use these alternative local offices Phoenix, Inanda or Durban Local Office for all social grants applications or services,” said SASSA. As of yesterday, the cumulative number of confirmed COVID-19 cases in South Africa is 111 796. Case Data Province Total cases for 24…

Telkom is targeting small and medium enterprises (SMEs) as part of its revenue diversification strategy. Small and medium businesses have the biggest impact on a successful gross domestic product. However, South Africa has one of the highest failure rates for these businesses compared to other developing countries. Telkom Small and Medium Business (SMB) aims to be a go-to place for all small and medium-sized enterprises (SMEs) to connect and to grow. Telkom SMB’s goal is to shift from pure connectivity products to e-commerce and expand to adjacent offerings in IT, procurement, financial services and many more – all delivered through…

MTN has reached a significant milestone by recording 100 million active data users on its networks across Africa and the Middle East, the telco revealed on Thursday. The South Africa-based company has a total base of more than 257 million customers in 21 markets. Growth through scaling data and digital services is central to its strategy. The group is overcoming barriers to greater mobile internet adoption by extending its 3G and 4G coverage, accelerating smartphone adoption and transforming prices. MTN wants to bridge the digital divide by ensuring that rural people in Africa and the Middle East are connected to…

Jaguar Land Rover has partnered with the City of Oslo to launch the world’s first high-powered wireless taxis. In a programme known as ‘ElectriCity’, the global vehicle manufacturer will join Nordic taxi operator Cabonline (NorgesTaxi AS), the region’s largest charge point operator Fortum Recharge, US technology developer Momentum Dynamics and the City of Oslo to build wireless, high-powered charging infrastructure for taxis in the Norwegian capital. The project will be the first wireless high-powered charging system for electric taxis in the world and by providing a charging infrastructure model that can be implemented almost anywhere, it will help the rapid…

The Liberty Fighters Network (LFN) is going to court again today to fight the lockdown restrictions. Earlier this month, LFN launched a court case against the lockdown restrictions in May, arguing they were unlawful and violated South Africa’s Bill of Rights. For more read: Lockdown Makes No Sense – Says South Africa’s Court The high court in Pretoria bought their argument and agreed with them before handing down a ruling that said some of the restrictions were irrational and trampled the rights of citizens. For more read: Court Rules SA’s Lockdown is Invalid. What is the End Goal? Mass Graves… The…

Two weeks ago,  Bryan Habana – World Cup-winning Springbok star – announced the launch of MatchKit.co, an innovative platform that gives athletes a ground-breaking solution towards growing their commercial brands. Habana and his team at the award-winning creative sporting agency, Retroactive, have created a mobile tech play that reinvents the way athletes – of every tier and discipline – monetise their careers in a simple and cost-effective way. “MatchKit has connected with more than 2.1 million fans since its public launch,” Mike Sharman, co-founder of Retroactive, told TechFinancials on Wednesday. To date, the app has had 4,800 views on its…

The Democratic Alliance (DA) has lambasted the Universal Service and Access Agency of South Africa’s (USAASA) decision to put out a near-identical tender for the provision of television sets to over 111 000 learners. The first tender in this regard (USAF-IDTV/01/2020) was cancelled without being awarded. Nomsa Marchesi, the DA’s Shadow Minister for Basic Education, said this was reported that the original tender could cost up to R160 million. The tender process closes on 2 July 2020, after which the television sets will reportedly be distributed to Grade 12 learners. This process will take approximately two months which means by…

Following a series of COVID-19 tests conducted last Friday, two Kaizer Chiefs players’ results have come back positive from the laboratory, the club announced on Tuesday. According to a statement published on the club’s website, a total of 70 individuals, including players, members of the technical team and other club officials were tested for COVID-19 in preparation for the restart of the 2019/20 season. “At the time of doing these tests, players and officials were screened and monitored by healthcare workers and team doctors. None of the people tested showed any signs or symptoms of COVID-19,” the statement reads. “All…

The South African Social Security Agency (SASSA) on Tuesday issued a statement on Twitter regarding the R350 COVID-19 Grant, which said ‘nothing at all’. “There is no fixed payment date for the special Covid-19 SRD grant. The applicant will be paid for each month as long as they still meet the qualification criteria. Every month the application will be verified to ensure that the applicant still qualifies for that particular month,” SASSA wrote in its official Twitter. There is no fixed payment date for the special Covid-19 SRD grant. The applicant will be paid for each month as long as they…

Telkom is investing in future technology based on software-defined networks (SDN), which allows for the creation of a framework to support more data-intensive applications like big data and virtualization. “Telkom has enjoyed the benefits of copper over the last 30 years. It has served us well. We are currently investing in technology that will power Telkom for the next 30 years,” Sipho Maseko, Telkom CEO said. Telkom’s capital investments totalled R7.8 billion in the year to end-March 2020, with capital expenditure in the mobile business up 22.1% to R3.7 billion. The company said the accelerated investment in the packet-optical transport…