Vodacom's $576M Neotel deal wins South Africa antitrust approval

Shameel Joosub, CEO, Vodacom

Vodacom Group Ltd., the African unit of Vodafone Group Plc, was granted provisional approval by South Africa’s Competition Commission to buy Internet provider Neotel Pty Ltd. for 7 billion rand ($576 million).

The deal was recommended on the condition that the Johannesburg-based mobile-phone company doesn’t cut Neotel jobs and invests 10 billion rand in the company within five years, the regulator said in an e-mailed statement after the market closed on Tuesday. Vodacom also won’t be able to use Neotel’s spectrum to offer mobile services for two years, the Competition Commission said.

Read more: Vodacom’s $575 Million Neotel Deal Wins Antitrust Approval – Bloomberg Business