The news:
- Vodacom has received approval to acquire a co-controlling stake in the fibre operator Maziv, following a lengthy regulatory battle that lasted over three years.
- This acquisition will inject billions of rand into Maziv, enhancing its fibre service expansion throughout South Africa, particularly in underserved townships.
- The Competition Appeal Court approved the deal after the Competition Commission changed its position, recommending approval after the merging parties provided additional commitments.
- The deal was initially blocked by the Competition Tribunal, prompting Vodacom and Maziv to seek relief from the Appeal Court.
Vodacom South Africa has received the go-ahead to acquire a co-controlling stake in fibre provider Maziv, marking the end of a lengthy, three-and-a-half-year regulatory battle.
This decision enables Maziv, which operates Vumatel and Dark Fibre Africa, to secure substantial new capital. The infusion of funds will accelerate the company’s fibre rollout across South Africa, particularly in townships, which have been a key focus for the company.
Pieter Uys, chairman of Maziv, confirmed the deal’s approval on Thursday, August 14, 2025. Per TechCentral, the Competition Appeal Court had authorised it, but they were still awaiting additional details before making further comments.
The deal encountered several challenges along the way. Initially, the Competition Commission recommended blocking the transaction due to concerns about competition in the fibre market. However, after Vodacom and Maziv proposed additional changes to mitigate competitive harm, the commission reversed its position and endorsed the acquisition.
The Competition Appeal Court approved the deal following an initial block from the Competition Tribunal. The tribunal’s decision prompted the merging parties to file an appeal, resulting in a unique scenario for the appeal court.
Typically, the commission would argue against the merger in such cases, but in this instance, it changed its stance, leaving the court to deliberate without any counter-argument from the regulator.
Appeal court judge Norman Manoim referred to the situation as unique, noting that the court had received a comprehensive argument detailing the flaws in the tribunal’s decision but had not received any rebuttal from the commission.
Maziv’s legal counsel, Jerome Wilson, emphasised that the so-called “new deal” reached between the commission and the merging parties should be considered supplementary to the original agreement, which they argue was misassessed by the tribunal.
Vodacom and Maziv contended that the tribunal misinterpreted the evidence in its initial ruling. They accused the regulator of selectively using data to support conclusions it had predetermined.
They also argued that the tribunal overlooked the broader context of the information presented, including testimonies from Vodacom’s CEO, Shameel Joosub, and various reports from the merging parties.
