JOHANNESBURG - Telkom SA SOC Ltd. offered to buy Cell C Pty Ltd. and combine South Africa’s two smallest mobile network operators to better compete against larger rivals, according to people familiar with the matter.
The bid includes a plan to reduce Cell C’s debt and renegotiate contracts with suppliers, the people said, asking not to be identified because negotiations are ongoing. Telkom wants to take over the management of Cell C’s business, they said. The approach comes as Cell C explores options with MTN Group Ltd. and local investors known as the Buffett Consortium to recapitalize the company, which may include the sale of some of its assets. The two offers will be considered side-by-side as Cell C and its owners try to restructure 9 billion rand of debt, the people said.
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Telkom eyes potential acquisitionCompany has previously made a bid for embattled mobile operator Cell C
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