Maravi

South Africa’s Telkom, seven others in race to buy Zamtel

South Africa’s Telkom, seven others in race to buy Zamtel
By Sututu Katundu
Thu 22 Oct. 2009, 17:00 CAT

Andrew Chipwende, director general for Zambia Development Agency (ZDA)
EIGHT foreign companies, among them South Africa’s state-owned fixed line operator Telkom, have made the shortlist to purchase Zambia’s telecommunications company Zamtel.

This was confirmed at a briefing by Andrew Chipwende, director general for Zambia Development Agency (ZDA), a state unit tasked to handle the sale of the state owned telecommunications utility.

He named the eight companies that have pre-qualified to participate in the purchase of between 51 per cent to 75 per cent of Zamtel as South Africa's Telkom, Africa's biggest fixed-line operator, a consortium of Libya's LAP Greencom and LAP Green Networks, two Indian state-run telecoms companies, Mahanagar Telephone Nigam(MTNL) and Bharat Sanchar Nigam Ltd.

The rest are a consortium of Russia's second-biggest mobile phone operator Vimpelcom and Altimo, the telecoms arm of Russia's Alfa Group; a consortium of Egypt's Orascom Telecom and its subsidiary Telecel Globe; Angola's UNITEL — a consortium of Unitel S.A and Angola Cables S.A; Portugal Telecom.

Chipwende said all Zamtel assets would be sold except the International gateway, the only property under the control of Zamtel as it involved some regulatory issues to be ascertained by the Communications Authority of Zambia (CAZ).

He said government has always made it clear that this privatization will be handled under the provision of the ZDA Act hence the ZDA board remains in charge of the process.

“They will select who will be the winning bidder, select who to enter into negotiations with, the law provides that ZDA board itself appoints the negotiating team. There is nowhere in the Act where you find the mention of government,” Chipwende said, adding, “The law is very clear ‘it says the minister of finance’ shall announce.’”

He assured the nation that there would be no government interference in the sale of Zamtel.

Labels: ANDREW CHIPWENDE, PRIVATISATION, ZAMTEL, ZDA

posted by MrK @ 5:40 PM