Reports suggest that Telkom SA SOC Ltd. is contemplating a takeover of much-maligned Cell C Pty Ltd., potentially hijacking the buy from Blue Label Telecoms.
According to Bloomberg, Cell C has missed debt payments and is attempting a recapitalisation.
Talks between the two companies in 2015 failed to bear fruit, but a takeover of a smaller brand struggling to compete against the continental might of Vodacom and MTN could make Telkom South Africa’s foremost cellular provider.
However, Bloomberg also reports that both Blue Lable and Telkom have refrained from commenting on the matter, with Cell C merely reiterating its recapitalisation plans.
Blue Label has until the end of the month to complete its 45% acquisition of Cell C.