Microsoft acquires 12% of Telecom company Blue Label Telecoms

Johannesburg-

Microsoft[Nyse:MSFT] will acquire approximately 12% of the issued share capital of  
Blue Label Telecoms through:                                             
 -    the acquisition by Microsoft of approximately 7.5% of the fully     
      diluted ordinary share capital of Blue Label Telecoms after the     
      Private Placing and the Investment Agreement at the Private Placing 
Price, of which approximately 5.5% will be from the Offer for Sale and
      the Further Allotment Option and approximately 2% from other Blue   
      Label Telecoms Shareholders ("the Microsoft Share Acquisition"); and
 -    a specific issue of Blue Label Telecoms ordinary shares for cash to 
Microsoft at the Private Placing Price, representing approximately  
      4.5% of the aggregate fully diluted ordinary shares in issue after the
      Private Placing and the Investment Agreement ("the Microsoft Share  
      Issue").                                                  

Blue Label Telecoms has operations in other African markets outside South Africa in , Mozambique,and the Democratic republic of Congo. The company is going for an IPO on November the 14th.