THE FINANCE GHOST: Turmoil in the telecoms sector

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MTN, Telkom and even Vodacom have made poor investments over the past five years. Given the billions they need to spend on capex, not to mention batteries, the future looks rocky, writes FinanceGhost.

Over the past year, we’ve seen a lot of action in the telecommunications sector. Aside from Telkom desperately trying to figure out how to unlock value, we’ve seen Blue Label Telecoms execute a complicated transaction to recapitalise Cell C. And it is upsetting news that Ghana is the new Nigeria for MTN, with a huge tax dispute under way.

Share prices in the sector have performed poorly in the past year. Vodacom is down about 6% but does have a strong dividend yield, so that’s not as bad as it looks. MTN has lost 17% and Telkom is down 29% even after the post-rain rally owing to the market being excited about that deal falling over...

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THE FINANCE GHOST: Turmoil in the telecoms sectorGiven the billions MTN, Telkom and Vodacom need to spend on capex, not to mention batteries, the future looks rocky, writes FinanceGhost.
Source: FinancialMail - 🏆 20. / 63 Read more »

THE FINANCE GHOST: Turmoil in the telecoms sectorGiven the billions MTN, Telkom and Vodacom need to spend on capex, not to mention batteries, the future looks rocky, writes FinanceGhost.
Source: FinancialMail - 🏆 20. / 63 Read more »