Cell C’s bond holders have agreed unanimously to a €160m (about R2,3bn) restructuring of the company’s debt, allowing it to free up cash for network expansion, according to Reuters. Their decision will allow South Africa’s third mobile operator to free up cash.

The company said last month that it would extend the maturity date of €160m of senior debt. “As part of the transaction, Cell C has offered to buy back debt from any bond holder who does not wish to extend [their position],” it said.

“The expected extension is further confirmation of the confidence that funders have in the future of Cell C and will allow Cell C to continue to invest heavily in its network infrastructure in support of its business plan.”

Cell C CEO Jose Dos Santos said the extension would allow Cell C to channel equity and cash generated in the business to increase its capacity to continue to grow the company.

In the second quarter, the operator said it had grown its subscriber base by 59% year on year to 18,1m. However, service revenue lagged behind, climbing by 10,5% over the same period.