South Africa’s biggest telecoms companies

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Two companies are in a near-constant tussle for telecoms top dog in South Africa.

* Rain is not a listed company, and its valuation comes from ARC’s estimation of what the company is worth as reported in its financial statements. As such, it should be carefully scrutinized.There are numerous reasons for this, including a broader slump in economic performance.Customers have been dealing with surging inflation, putting their expenditure on airtime and data under pressure.

MTN appears to have been most resilient to the aforementioned challenges, with its shares trading at close to the same level they were at the start of the year.However, its challenges are not comparable to those experienced by Telkom and Cell C. In addition to load-shedding, the company has blamed its troubles on low economic growth, high interest rates, and evolving technological advancements.Cell C is not directly listed on the JSE, but its performance greatly influences parent company Blue Label Telecoms, its biggest shareholder.

 

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