In a surprise move, JSE-listed Blue Label Telecoms has called a meeting to update investors on “key business developments”.
Browsing: Brett Levy
JSE-listed Blue Label Telecoms on Thursday reported robust full-year results, with a big expansion in gross profit margin.
Blue Label Telecoms’ co-CEOs Mark and Brett Levy have expressed their frustration that investors continue to punish Blue Label for their Cell C deal, despite the solid performance of the group in recent years.
Blue Label Telecoms has said that the long-awaited recapitalisation of debt-laden mobile operator Cell C will be completed by no later than May this year.
Cell C’s largest shareholder, Blue Label Telecoms, disclosed on Thursday that a term sheet to recapitalise the mobile operator has finally been signed after protracted negotiations.
Cell C is showing signs of having turned the corner, at least when it comes to its income statement – the company’s balance sheet still needs fixing through a planned recapitalisation.
Blue Label Telecoms will report slight growth in headline earnings per share of between 0% an 4% for the six-month reporting period ended 30 November 2020.
Cell C’s largest shareholder, Blue Label Telecoms, is confident a recapitalisation of the mobile operator will be completed in the coming months and that this will put it on a new growth trajectory.
The Competition Commission on Thursday said it has given its conditional approval for an entity called Gatsby SPV to acquire “certain aspects” of Cell C.
Blue Label Telecoms, which bought a 45% stake in Cell C in 2017 for R5.5-billion, has said in its annual report that it is “extremely disappointed” in the performance of the mobile operator.