Cell C On the Acquisition Trail
Cell C, the number three mobile operator in South Africa, is planning to expand its network and services portfolio with a number of acquisitions, the CEO Jose dos Santos has told Bloomberg in an interview.
The operator is looking to acquire existing operations that will enable it to offer fiber-based fixed broadband and financial services using its own access networks and supporting systems. The CEO told Bloomberg that Cell C is currently in talks with two potential FTTH network operators and is scoping out M&A opportunities in the financial services sector.
Acquiring fixed broadband operators would enable Cell C to offer customers a package of mobile and fixed services and, as a result, become a stronger rival to market leaders Vodacom and MTN and ward off pressure from fixed line incumbent Telkom SA, which is growing its mobile business. (See Mobile, ICT Services Fuel Telkom's Growth.)
The move is part of a new growth strategy that follows the company's financial restructuring under the control of Blue Label Telecoms, which acquired a 45% stake in Cell C last year, followed by a 47.4% stake in mobile device distributor 3G Mobile Proprietary. (See Blue Label to Buy 3G Mobile for 1.9B Rand.)
Cell C currently has about 16 million customers compared with about 40 million for Vodacom, more than 31 million for MTN and about 4 million at Telkom.
— The staff, Connecting Africa
Cell C, the number three mobile operator in South Africa, is planning to expand its network and services portfolio with a number of acquisitions, the CEO Jose dos Santos has told Bloomberg in an interview.
The operator is looking to acquire existing operations that will enable it to offer fiber-based fixed broadband and financial services using its own access networks and supporting systems. The CEO told Bloomberg that Cell C is currently in talks with two potential FTTH network operators and is scoping out M&A opportunities in the financial services sector.
Acquiring fixed broadband operators would enable Cell C to offer customers a package of mobile and fixed services and, as a result, become a stronger rival to market leaders Vodacom and MTN and ward off pressure from fixed line incumbent Telkom SA, which is growing its mobile business. (See Mobile, ICT Services Fuel Telkom's Growth.)
The move is part of a new growth strategy that follows the company's financial restructuring under the control of Blue Label Telecoms, which acquired a 45% stake in Cell C last year, followed by a 47.4% stake in mobile device distributor 3G Mobile Proprietary. (See Blue Label to Buy 3G Mobile for 1.9B Rand.)
Cell C currently has about 16 million customers compared with about 40 million for Vodacom, more than 31 million for MTN and about 4 million at Telkom.
— The staff, Connecting Africa