INDIA BUSINESS WORLD - JUNE 1^st - JUNE 30^th - 2008

MTN ACQUIRES VERIZON’S SOUTH AFRICAN ISP ENTITY

Telecom major MTN, currently in exclusive negotiations with India's Anil Ambani-led Reliance Communications for a possible merger, announced acquisition of Verizon South Africa, an internet service provider (ISP) majority owned by US-based Verizon Communications. Under the agreement, MTN will acquire 100% of Verizon South Africa, which is 70% owned by Verizon Business and the rest by J&J Group, an investment holding entity founded by two Indian-origin persons. Verizon Business is part of the US telecom major Verizon and Verizon Business South Africa is an established South Africa-headquartered ISP providing connectivity services to corporate customers in South Africa, Namibia, Botswana, Zambia and Kenya. The ISP is about 30% owned by Jay & Jayendra Pty Ltd, part of South Africa-based investment holding and management company J&J Group, which was founded by Jay Naidoo and Jayendra Naidoo in February, 2000.