Vox Telecom's acquisition of Storm Telecoms has received approval from competition authorities and the SA Reserve Bank.
The AltX-listed company may now go ahead in integrating the telecommunications business into its various divisions.
Vox says Storm's telephony business will be merged into Orion Telecom, while its corporate data business will be merged into DataPro and the consumer data business will be merged into @lantic Internet.
Says Vox executive chairman Tony van Marken: "Storm Telecom is a strategic asset with a 10-year track record in the industry, and will be accretive to earnings and enable us to improve our scale and strategic positioning in the South African telecommunications market."
The transaction has been financed through the issue of new shares. This has also enabled the company to increase its black ownership to around 42%. Lereko Metier Capital Growth Fund holds 23.6%, Mvelaphanda Group holds 12.42%, Regiments Capital holds 4.24% and Thembeka Capital holds 1.61%.
This makes Vox Telecom the largest black-owned telecoms company operating in SA, it says.
Mvelaphanda's increased interest in the company sees Tshakalisa Matiwaza, Mvelaphanda's group investment executive, joining the board as non-executive director.
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