sitemapHome | Registration | Job Portal for CA's | Expert Exchange | Currency Converter | Post Matrimonial Ads | Post Property Ads
News shortcuts: From the Courts | News Headlines | VAT (Value Added Tax) | Placements & Empanelment | Various Acts & Rules | Latest Circulars | New Forms | Forex | Auditing | Direct Tax | Customs and Excise | ICAI | Corporate Law | Markets | Students | General | Mergers and Acquisitions | Continuing Prof. Edu. | Budget Extravaganza | Transfer Pricing | GST - Goods and Services Tax
Latest Expert Exchange
« Markets »
 FM calms nerves, says no plan to tax market gains
 Why we must tweak the market-led model
 PE transactions prompt income tax queries over round tripping concerns
 Amended India-Mauritius tax treaty only covers investments in shares
 Government drops cap gains tax on startup shares held for 2 years
 Tax-free bonds regain demand in the secondary market
 Relevant Market’ Under Competition Act, 2002
 Indian markets best in terms of earnings momentum, price revision
 How India will become a common market with GST
 Broader markets outperform; Nifty holds 8,500
 Have Indian markets run ahead of fundamentals?

Tata Communications eyes African markets with Neotel expansion
December, 14th 2011

Tata Communications plans to turn its South African arm Neotel into a $1-billion enterprise by expanding its footprint.

The company aims to deliver a gamut of enterprise data services in countries near South Africa, and eventually expand into other markets across the continent, a top executive with direct knowledge of the matter told ET.

The Tatas are weighing the options before Neotel, the executive said, adding that the telecom network operator may either seek licences in Namibia, Botswana, Zimbabwe, Swaziland, Lesotho and Mozambique or extend its existing fibre optic network into these markets.

"Africa is a huge emerging market and Neotel will leverage its presence in South Africa for growth across the continent," said Ajay Pandey, president (corporate affairs & business opportunities) at Tata Communications.

"Decisions, like applying for licences to deliver enterprise connectivity in the B2B space in new African markets or extending Neotel's fibre network into neighbouring countries, will be taken in consultation with our partners."

The Tatas own 69.5% in Neotel through Tata Communications and Tata Africa Holdings, while the remaining is held by local partners Nexus Communications and Communitel.

Nexus, which represents South Africa's Black Economic Empowerment group, is the second largest stakeholder in Neotel with 19% ownership, while Communitel holds 12.5%. Pandey, who was managing director of Neotel until July, sees strong growth potential in Africa.

"Neotel already generates $450 million in annual revenues and has a compounded annual growth rate of 25-30%," he said. "This growth comes from South Africa alone. There is huge revenue potential and the shareholders like the BEE partner group will shortly take a call on expanding operations beyond South Africa," he said.

Neotel is a converged communications network operator and provides both domestic and global connectivity in South Africa. As a key facilitator of the SEACOM undersea fibre optic cable system, it harnesses its international bandwidth capacity to deliver value-added voice and data services for businesses and wholesale network operators.

"Neotel will explore opportunities to grow its data centre, security solutions and internet leased lines business across Africa," Pandey said.

Home | About Us | Terms and Conditions | Contact Us
Copyright 2018 CAinINDIA All Right Reserved.
Designed and Developed by Binarysoft Technologies Pvt. Ltd.
Outsourcing Test Solutions Software Testing Software Bug Testing Software Issues Tracking Software Issue Fix Software Code Optimization Database Design Optimization

Transfer Pricing | International Taxation | Business Consulting | Corporate Compliance and Consulting | Assurance and Risk Advisory | Indirect Taxes | Direct Taxes | Transaction Advisory | Regular Compliance and Reporting | Tax Assessments | International Taxation Advisory | Capital Structuring | Withholding tax advisory | Expatriate Tax Reporting | Litigation | Badges | Club Badges | Seals | Military Insignias | Emblems | Family Crest | Software Development India | Software Development Company | SEO Company | Web Application Development | MLM Software | MLM Solutions