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South Africa’s Telekom Calls off Talks to Buy Cell C

By Diana Goovaerts | November 20, 2015

South African fixed-line telecommunication provider Telekom announced Thursday it has called off negotiations to buy mobile operator Cell-C.

In a press release, Telekom said the discussions were scrapped after it became “clear that there is a difference between the parties on the assessment of value of the proposed transaction.” Since no agreement was in place, the companies decided Thursday to end “all discussions,” the release said.

Earlier this month, Telekom confirmed rumors that it was looking to buy Cell C and told investors that the successful completion of a deal might impact the price of Telekom’s securities. The company withdrew that warning with its announcement on Thursday.

Had a deal been reached, Cell C would have brought Telekom nearly 20 million wireless users.

As of 4 p.m. local time in Johannesburg, Telekom stocks were up just under two percent.


Filed Under: Carriers

 

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