The working committee evaluating bids for a majority stake in South Africa’s second national operator (SNO) has cut the short-list from four to two, the ministry of communications said in a statement on Monday.
The two bidders — Two Consortium and CommuniTel — will now submit applications to the Independent Communications Authority of South Africa (Icasa).
This paves the way for a competitor for fixed-line operator Telkom to be licensed by July.
The bidders are vying for a 51% stake in the proposed SNO, and will join Esi-Tel and Transtel — subsidiaries of Eskom and Transnet respectively — and empowerment partner, Nexus in the new company.
The ministry said the Second National Operator Working Committee (SNOWC) had completed the first and second phases of the bid process, which included one-on-one negotiations with the four shortlisted applicants.
”The committee has recommended to the Minister of Communications, Dr Ivy Matsepe-Casaburri that the two applicants should proceed to submit to Icasa.
”The recommended applicants are Two Consortium and CommuniTel.
”The minister is considering the recommendation and will make her decision on the matter public,” it said.
CommuniTel’s members reportedly include former British Telecom executives, the Umkhonto we Sizwe Military Veterans’ Association and Telecom Namibia, while Two Consortium involves Norwegian telephone company Telenor, a European telecommunications consultancy and a local partner.
The other two short-listed consortium were Detecon/Afri China, and TeleAccess Investment SA. – Sapa