Vox, Frogfoot raise $900m to expand broadband to 360,000 South African homes yearly

A South African conglomerate’s telecommunications units, Vox Telecom SA and Frogfoot Networks, have raised $900 million (R14.4 billion) to expand broadband services and connections in South Africa. 

According to a Bloomberg report on Monday, the companies, which are units of the Johannesburg-based Vivica Group, raised R8.4 billion in equity funding and R6 billion in debt. The primary focus is to increase fibre deployment to about 360,000 homes a year.

While commenting on the development, Abraham van der Merwe, chief executive officer of the two companies, noted that Hypa Fibre Ltd., a unit of Vox, was also part of the fundraising deal. He added that the infrastructure will be more focused on rural areas. 

“We are anticipating quadrupling our fibre deployment to about 360,000 homes a year, mostly rolling out in townships,” said Van der Merwe.

The deal signals recent moves by telecom companies to expand infrastructure in the sector. Powering fibre rollout, base stations and improving network quality across South Africa means gaining more ground and connecting more subscribers. 

At a time when companies are increasingly tapping into the South African telecoms industry, competition continues to define the pace of service delivery. And to acquire more subscribers, companies are looking to provide quality networks to businesses and bridge the connectivity gaps across townships and rural areas with broadband infrastructure. 

Recognising the industry’s potential, Abraham van der Merwe noted that there are always opportunities to explore in the industry. He added that telecom companies can connect as many as 15 million homes via fibre. Currently, about 4.5 million South African homes are connected with high-speed internet connections. 

Aside from Hypa Fibre Ltd, the equity transaction included new investors such as a group led by DNI Group and EM-Three Investments Holdings, and others.

“There is a lot of strategic overlap between some of the things we do in our group and some of Frogfoot’s needs,” said DNI CEO Ryan Noach. He added that it wants to add value beyond investing in capital.

Also read: South Africa wants to launch its first satellite from home soil by 2030.

South Africa’s 5G network continues to expand

With investment in broadband networks, South Africa’s 5G network is already on the path to extending its coverage across the country.

South Africa holds the highest 5G coverage and availability in Africa, with usage rising to 58% in 2025, up from 46.6% in 2024. Notably, South Africa is recognised for the best overall 5G availability and speed in Africa, according to a Global Network Excellence Index 2025 report.

Telecom operators such as MTN and Vodacom are expanding 5G availability through cellular towers, while Telkom, Cell C, Rain and others are also leveraging the infrastructure in the country’s drive for quality network service.

Last week, Comsol, a telecoms company that leases its 5G network to operators, secured an undisclosed multibillion-rand investment to establish a national wholesale 5G broadband network in South Africa. The operator wants to build 2,000 base stations nationwide and focus on business connectivity to the home internet market.

These moves are crucial for South Africa. With Comsol offering capacity to smaller businesses and allowing them to access its network without having to invest heavily in building their own infrastructure, it marked a significant boost for the country’s effort to connect more citizens.