Cell C’s Acquisition of CEC Approved by South Africa’s Competition Commission
Architecture of downtown of Johannesburg, South Africa
South Africa’s Competition Commission has given the green light to Cell C’s proposed acquisition of Comm Equipment Company (CEC) without any conditions. The acquisition is not expected to have a significant impact on market competition and does not raise major public-interest concerns, according to the Commission.
The primary acquiring firm, Cell C, stands independent with a diversified shareholding structure that lacks a sole controlling shareholder. CEC, which is under the ownership of The Prepaid Company (TPC), functions as a mobile virtual network aggregator (MVNA) providing airtime and data services in the South African market.
As part of the deal, Blue Label Telecoms, the parent company of TPC, will acquire stakes in Cell C. This move comes amidst Vodacom’s expansion efforts through the recent acquisition of Maziv, the holding company of Vumatel and Dark Fibre Africa.
