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A perfect match? ADSL South Africa (Broadband South Africa), 29 January 2008 Will Cell C and Telkom be a perfect match? This is the question we can ask after Middle Eastern telecoms company, Oger Telecom, has made an offer to buy a huge chunk of Telkom, which the South African telecoms giant is now considering. Details remain sketchy at best so we can only speculate at this stage.
It is no secret that Oger Telecom’s parent company, Saudi Oger, owns a majority share in Cell C. This means that if Oger Telecom succeeds in buying a huge chunk of Telkom, Saudi Oger might move in for the kill, through a merger or acquisition, and open the door to a healthy relationship between Cell C and Telkom. Such a relationship may give Cell C the boost that’s needed to end the company’s financial woes and give it the push that’s needed to grab more market share than the 10% it currently holds. It definitely make sense from that point of view but the whole thing might backfire in Cell C’s face. |
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