Cell C’s creditors aren’t giving up on a takeover offer from rival Telkom, which South Africa’s third largest mobile network operator rejected last week.
Author Loni Prinsloo
Shares of Vodacom Group and MTN Group slumped after South Africa’s two biggest mobile phone companies were ordered to step up efforts to lower data prices within the next two months or face prosecution.
Naspers unlocked about R150-billion of value for shareholders through the separate listing of its Internet businesses, and with that done is now focusing on bulking up in online food deliveries.
Telkom wants to buy Cell C in a plan that will include reducing its troubled rival’s debt and renegotiating contracts with suppliers, according to people with knowledge of the situation.
MTN Group is in advanced talks to sell stakes in tower assets in Ghana and Uganda worth as much as R8-billion as Africa’s largest wireless carrier looks to accelerate a broader disposal plan.
Atlas Tower is selling its South African tower portfolio to shareholder SBA Communications for R2-billion.
The company that runs Africa’s largest public Wi-Fi network is being liquidated after the unprofitable business failed to secure new investors.
EOH Holdings plans to sell a further R1-billion of non-core businesses in 2020 as it reorganises and reduces debt.
South Africa’s third-biggest mobile operator has put core parts of the business up for sale as it struggles with R9-billion of debt and deepening losses.
A group of local banks have committed to provide temporary liquidity and extended the maturity of R1.2-billion of debt that was due to be repaid last month, Cell C said.