Gateway Communications, the leading provider of pan-African connectivity to mobile networks and multi-national corporations, is today announcing it has agreed a deal with Vodacom Group that will allow the company to increase investment across Africa.

As consolidation in the African telecommunications market continues, leading players are combining resources to deliver increased scale, efficiency and customer choice in their chosen markets. The deal provides Gateway’s customers with more choice and the business with an enhanced ability to provide secure and reliable pan-African connectivity services to the continent’s leading businesses and carriers.

Gateway Communications will continue to be an independently managed company, run by the existing management and staff, including responsibility for customer service and product development and the day to day running of the business in all respects, with no change to the company name, brand and products.

Peter Gbedemah CEO Gateway Communications said, “This is another exciting milestone in Gateway’s development as a unique pan-African service provider. We will increase resources, efficiency, product range and continue our relentless focus on meeting the requirements of all Africa’s mobile networks and multi-national corporations.”

Benefits of the agreed transaction:
• Greater efficiencies and economies of scale
• More customer choice through broader service range
• Increased network capacity and connectivity
• Access to capital for investment in African infrastructure
• Better quality and customer-focused local support

Pieter Uys, CEO designate Vodacom, said,
“Gateway Communications provides a unique opportunity to expand as a pan-African total communications provider. It will enhance our position with multi-national corporations and give us further exposure to Africa’s significant growth potential in business services and connectivity.”

Gateway Broadcasting Services group is not part of the transaction and will be retained by its current owners. The transaction is subject to various regulatory approvals (see the section on conditions precedent & timetable below).

Notes for Editors:

Background on Gateway Communications
Gateway Communications is the leading provider of communications services to telecommunications operators and corporations in Africa. Gateway delivers the highest quality, most comprehensive and affordable international communications services to 40 countries on the African continent.

Since 2001, Gateway Communications has established itself as the most successful operator in Africa and has been responsible for pioneering the delivery of cost effective voice, data and e-commerce services throughout the region.

Gateway Communications has developed the local presence, skills and expertise combined with the global infrastructure and relationships to uniquely meet the voice and data communications needs of local telecommunications operators and businesses operating within Africa.

For more information, please visit www.gatewaycomms.com .

Background on Vodacom
Vodacom is a Pan-African cellular communications company providing a world class GSM service to more than 34.6 million customers in South Africa, Tanzania, the Democratic Republic of Congo, Lesotho and Mozambique.

Vodacom South Africa launched its 3G network in December 2004 and its 3G HSDPA network in March 2006. Vodacom Tanzania announced the launch of its 3G network in February 2006.

For further information, please visit www.vodacom.com .

Transaction Structure
Subsidiaries nominated by Vodacom Group (Pty) Ltd will purchase from Gateway Telecommunications SA (Pty) Ltd 100% of the shares in Gateway Telecommunications (plc), Gateway Communications (Pty) Ltd, Gateway Communications Mozambique LDA, Gateway Communications (Tanzania) Ltd and GS Telecom (Pty) Ltd and their respective subsidiaries, subject to customary conditions.

Conditions precedent & timetable:
The transaction remains subject to certain closing conditions, including approval from the South African Reserve Bank and the relevant regulatory authorities in South Africa and certain other African jurisdictions. Both parties expect the transaction to close in Q4 2008.

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