14 June 2022

South Africa’s Community Investment Ventures Holdings (CIVH), the Remgro and New GX-controlled parent company of Dark Fibre Africa (DFA) and Vumatel, said its two fibre network assets will be managed under a new infrastructure company.

In a statement, the company says this decision is a strategic step to meet ongoing customer and business requirements and increase open-access offerings across the networks.

The move comes as competition in the South African fibre market continues to heat up in what has now been termed the “fibre land grab”.

However, CIVH says the infrastructure entity’s name has not yet been announced.

Although its two most significant operating subsidiaries (DFA and Vumatel) will be incorporated into this new infrastructure entity, CIVH says each business will initially continue to operate separately.

Dietlof Mare and Byron Billett, current executives of Vumatel, have been appointed chief executive officer and chief financial officer, respectively, of the new infrastructure business.

Andries Delport will continue as chief executive officer of DFA and will be an integral part of the infrastructure company management committee.

“The fibre-to-the-home market is constantly evolving, especially in the open-access environment, and fibre network operators have to be able to evolve at the same pace,” said Raymond Ndlovu, chief executive officer, CIVH. “The establishment of this holding company will enable both Vumatel and DFA to expand their open-access network infrastructures to meet customer requirements, with the ultimate goal of connecting more of South Africa to high-capacity fixed-line infrastructure,” he said.

Vumatel pioneered fibre-to-the-home in South Africa and has since connected thousands to the internet in Cape Town, Durban and Johannesburg. The company, which has a footprint in excess of 600,000 homes, anticipates there are at least a further 700,000 homes in emerging markets.