BUSINESS MAVERICK: Inside Douglas Craigie Stevenson’s plan to rescue Cell C

  • 📰 dailymaverick
  • ⏱ Reading Time:
  • 54 sec. here
  • 2 min. at publisher
  • 📊 Quality Score:
  • News: 25%
  • Publisher: 84%

Business News News

Business Business Latest News,Business Business Headlines

BUSINESS MAVERICK: Inside Douglas Craigie Stevenson’s plan to rescue Cell C By Ray MahlakarayMahlaka

Nearly two months into the Cell C top job and Douglas Craigie Stevenson has described the struggling group in a manner with which many market watchers would probably agree.It does look like a horror story at Cell C,” said Craigie Stevenson, who was appointed in early August 2019 to head SA’s third-largest telecommunications company after he was in an interim role for five months.

This is a company that was downgraded in August 2019 by S&P Global Ratings to default status – the credit rating agency’s lowest-possible “junk” rating. In July, Cell C had failed to make interest payments worth R194-million on certain loan facilities totalling 40% of its total debt as at December 2018.

Cell C was previously led by Jose Dos Santos between 2014 and March 2019, a period in which the company struggled to make consistent profits because it had a hefty debt, which was used for consumption rather than investing in profit-inducing telecommunications infrastructure.

Cell C already uses MTN’s network in areas where it does not have adequate coverage – it’s a partial agreement with MTN. But this agreement has been controversial, with MTN recently saying that Cell C had failed to make payments on its service agreement, with Cell C having an unpaid bill of R393-million .One of the big things about the agreement is that we previously had 6,500 roaming sites and the agreement puts us on par with other networks, giving us 13,000 sites.

 

Thank you for your comment. Your comment will be published after being reviewed.
Please try again later.
We have summarized this news so that you can read it quickly. If you are interested in the news, you can read the full text here. Read more:

 /  🏆 3. in BUSİNESS

Business Business Latest News, Business Business Headlines

Similar News:You can also read news stories similar to this one that we have collected from other news sources.

Business rescue plan for Lily and Barbrook mines delayedThe business rescue plan of Mpumalanga’s Lily and Barbrook mines has suffered another setback after the high court ordered that the process be halted following another court application.
Source: City_Press - 🏆 7. / 72 Read more »

Sugar industry turns to the government for help in plotting rescue planLocal producers have warned that the sector is near collapse and have suggested that tariffs need to be raised They're wasting their time.
Source: BDliveSA - 🏆 12. / 63 Read more »

BUSINESS MAVERICK: PwC report on SA mining highlights rise of manganese — and coal is still kingPwC has released its annual report on South Africa’s mining sector. A few things stand out amid all the number-crunching. It confirms the recent turnaround seen in share prices, underscores the steady decline in the gold sector and highlights the dramatic rise of domestic manganese production. And coal is still the biggest revenue earner.
Source: dailymaverick - 🏆 3. / 84 Read more »