In the revised structure of the proposed takeover, the frequency will be leased out to all telecoms providers on a roaming arrangement.
This development came after Vodacom and Neotel asked the Competition Tribunal to postpone public hearings into their R7bn deal so that they could restructure the deal.
In order to develop a 4G network infrastructure, Vodacom needs access to the type of spectrum that Neotel can provide.
The Competition Commission, however, did not want Vodacom to have access to Neotel’s spectrum for at least two years, in order to give policy makers an opportunity to deal with the spectrum problems in the industry.
It is expected that by making spectrum available to rivals, Vodacom will be able to accelerate the development of its 4G network.
“Shareholders are advised that agreement has been reached on a modified transaction in terms of which Vodacom South Africa will acquire, inter alia, the majority of Neotel’s assets related to its fixed-line business as a going concern, excluding, inter alia, Neotel’s licences,” Vodacom said in a statement to shareholders.
“Vodacom South Africa and Neotel have submitted to the Competition Tribunal the signed transaction documentation in respect of the restructured transaction. The Competition Tribunal will consider the restructured transaction at a pre-hearing set down for 10 December 2015. Shareholders will be advised accordingly of the outcome.”
Vodacom did not reveal how the R7bn offer price for Neotel has changed as a result of the latest developments.