Telkom is restructuring its business. (Duncan Alfreds, Fin24)
Cape Town - The Competition Tribunal of South Africa has approved the R2.6bn merger deal between Business Connexion Group and Telkom.
The Competition Tribunal’s approval of the deal is the final hurdle for the deal after the Competition Commission and the Independent Communications Authority of South Africa (Icasa) also approved the deal.
The transaction which is expected to be finalised by August 25 will help Telkom expand into enterprise ICT services.
BCX also employs around 6 700 people in Africa and generates revenue in excess of R6bn per annum.
"BCX has very strong capabilities in managed IT Infrastructure, including data centres, cloud based services and application development and the merger will enable Telkom to expand its existing offerings whilst, at the same time, providing scale in IT services, which will help reinforce Telkom's core connectivity business and enhance Telkom's convergence strategy," said BCX chief executive officer Isaac Mophatlane.