Close Menu
TechCentralTechCentral

    Subscribe to the newsletter

    Get the best South African technology news and analysis delivered to your e-mail inbox every morning.

    Facebook X (Twitter) YouTube LinkedIn
    WhatsApp Facebook X (Twitter) LinkedIn YouTube
    TechCentralTechCentral
    • News

      Spar ‘ignored whistle-blower’ on botched SAP project

      1 December 2023

      TCS | Revix founder Sean Sanders on the creation of Altify

      1 December 2023

      IT Leadership Series: Shoprite Group head of digital tech Debbie Cunningham

      1 December 2023

      South Africa’s Revix is now Altify after big crypto merger

      1 December 2023

      GoMetro’s going great guns

      1 December 2023
    • World

      Musk’s Cybertruck is here – and it’s expensive

      1 December 2023

      ‘No chance’ of super-intelligent AI soon: Microsoft

      1 December 2023

      Microsoft developing Xbox store to take on Apple, Google

      1 December 2023

      ‘Go f… yourself’: Musk lashes out at fleeing advertisers

      30 November 2023

      Microsoft to take non-voting position on OpenAI board

      30 November 2023
    • In-depth

      Africa has a feature phone problem

      23 November 2023

      Is your ISP monitoring your online activity?

      10 November 2023

      The real Big Brother Africa

      2 November 2023

      Compared: Starlink prices around the world – including Africa

      30 October 2023

      Africa is booming

      30 October 2023
    • TCS

      TCS+ | OneTrust’s Joseph Byrne: privacy risk management done right

      29 November 2023

      TCS+ | Ricoh – safe and secure role in today’s digital ecosystems

      27 November 2023

      TCS+ | NEC XON on going toe to toe with cybercriminals

      22 November 2023

      TCS | How ShotSpotter is fighting gun crime in Cape Town

      13 November 2023

      TCS+ | SOC-as-a-service: CYBER1 SOC and the future of cybersecurity

      13 November 2023
    • Opinion

      Could Cape Town become Africa’s Silicon Valley?

      14 November 2023

      Chris Kruger: What I learnt in my decades in IT leadership

      6 November 2023

      Ransomware attacks: how South African companies should respond

      6 November 2023

      Fibre providers urged to go ‘nano’ to cut costs

      31 October 2023

      Big banks, take note: PayShap should be free

      20 October 2023
    • Company Hubs
      • 4IRI
      • Africa Data Centres
      • Altron Document Solutions
      • Altron Systems Integration
      • Arctic Wolf
      • AvertITD
      • CallMiner
      • CoCre8
      • CYBER1 Solutions
      • Digicloud Africa
      • Digimune
      • E4
      • Entelect
      • ESET
      • Euphoria Telecom
      • iKhokha
      • Incredible Business
      • iONLINE
      • LSD Open
      • Maxtec
      • MiRO
      • NEC XON
      • Next DLP
      • Paratus
      • Ricoh
      • Skybox Security
      • SkyWire
      • Velocity Group
      • Videri Digital
    • Sections
      • AI and machine learning
      • Banking
      • Broadcasting and Media
      • Cloud computing
      • Consumer electronics
      • Cryptocurrencies
      • E-commerce
      • Education and skills
      • Energy
      • Fintech
      • Information security
      • Internet and connectivity
      • Internet of Things
      • Investment
      • IT services
      • Metaverse and gaming
      • Motoring and transport
      • Open-source software
      • Public sector
      • Science
      • Social media
      • Talent and leadership
      • Telecoms
    • Events
    • Advertise
    TechCentralTechCentral
    Home » News » Telkom reacts to Cell C, MTN deal

    Telkom reacts to Cell C, MTN deal

    By Duncan McLeod18 November 2019
    Facebook Twitter LinkedIn WhatsApp Telegram Email

    Telkom said on Monday that it expects that the “parties involved” will have considered the newly announced, much-expanded roaming agreement between Cell C and MTN South Africa “in the context of the discussions with Telkom”.

    Telkom’s share price fell more than 5% on the JSE on Monday morning after Cell C and MTN said they had signed the new roaming agreement, potentially making it more difficult for it to follow through with a possible acquisition of Cell C, announced on Friday.

    But Telkom appears to have no intention of walking away from Cell C in light of Monday’s developments.

    Cell C remains locked in negotiations with the Buffet Consortium with the view to a recapitalisation of the business

    “Telkom notes the decision between Cell C and MTN to conclude a roaming agreement which remains subject to conditions,” it said in response to an e-mailed question from TechCentral about whether it would challenge the agreement at a forum such as the Competition Commission or communications regulator Icasa. Telkom didn’t respond directly to the question asked.

    MTN and Cell C have said the deal has been carefully constructed so that it does not breach any legal or regulatory requirements. In essence, this means that MTN won’t acquire any Cell C infrastructure or spectrum, but that Cell C will roam fully on MTN’s network, obviating the need for capital expenditure in its own access network.

    Gearing

    Telkom said its potential acquisition of Cell C would be “subject to Cell C completing a financial restructuring to ensure that its gearing levels are reduced to a sustainable level as specified by Telkom and commercial contractual relationships are renegotiated to terms acceptable to Telkom”.

    Cell C remains locked in negotiations with the Buffet Consortium with the view to a recapitalisation of the business that will likely lead to a dilution of existing shareholders, including the largest, 45% holder Blue Label Telecoms.

    Telkom’s discussions with Cell C are still at a preliminary stage.

    The Cell C and MTN deal is subject to “conditions precedent”, the companies said. However, Cell C on Monday said it couldn’t say what these conditions were. “The conditions precedent are commercially sensitive and therefore not suitable for disclosure,” a spokeswoman told TechCentral via e-mail. — (c) 2019 NewsCentral Media

    Buffet Consortium Cell C Competition Commission Icasa MTN MTN South Africa Telkom top
    Share. Facebook Twitter LinkedIn WhatsApp Telegram Email
    Previous ArticleHuge Group partners with MTN following Cell C dispute
    Next Article André de Ruyter is surprise choice to lead Eskom

    Related Posts

    Spar ‘ignored whistle-blower’ on botched SAP project

    1 December 2023

    Unsecured lending: the key to unlocking SME potential in South Africa

    1 December 2023

    TCS | Revix founder Sean Sanders on the creation of Altify

    1 December 2023
    Promoted

    Unsecured lending: the key to unlocking SME potential in South Africa

    1 December 2023

    Sasfin | Empower your future with strategic investment accounts

    1 December 2023

    5G home broadband a big opportunity for African operators

    30 November 2023
    Opinion

    Could Cape Town become Africa’s Silicon Valley?

    14 November 2023

    Chris Kruger: What I learnt in my decades in IT leadership

    6 November 2023

    Ransomware attacks: how South African companies should respond

    6 November 2023

    Subscribe to Updates

    Get the best South African technology news and analysis delivered to your e-mail inbox every morning.

    © 2009 - 2023 NewsCentral Media

    Type above and press Enter to search. Press Esc to cancel.