{"id":180007,"date":"2017-06-19T14:38:10","date_gmt":"2017-06-19T12:38:10","guid":{"rendered":"https:\/\/businesstech.co.za\/news\/?p=180007"},"modified":"2017-06-19T14:38:10","modified_gmt":"2017-06-19T12:38:10","slug":"blue-label-ready-to-take-cell-c-deal-to-shareholders","status":"publish","type":"post","link":"https:\/\/businesstech.co.za\/news\/telecommunications\/180007\/blue-label-ready-to-take-cell-c-deal-to-shareholders\/","title":{"rendered":"Blue Label ready to take Cell C deal to shareholders"},"content":{"rendered":"<p>JSE-listed Blue Label says it has signed the final equity transaction agreements to the recapitalisation of mobile operator, Cell C.<\/p>\n<p>The matter relates to the conclusion of a binding umbrella restructure agreement for the recapitalisation of Cell C, by\u00a0Blue Label, which was subject to the conclusion of the relevant transaction agreements.<\/p>\n<p>The deal is anticipated to be implemented during the first week of August 2017 as it is subject to Blue Label shareholder approval in a general meeting.<\/p>\n<p>Blue Label said it anticipates issuing an updated circular, and convening a general meeting before the end of July 2017 in order to seek the approval of shareholders.<\/p>\n<p>Details of the amended agreements include the following:<\/p>\n<ul>\n<li>Net borrowings of Cell C to be reduced to a maximum of R6 billion (previously R8.0 billion).<\/li>\n<li>An increase in the Blue Label vendor consideration placement from R2.0 billion to R2.75 billion, at a price of R15.00 per Blue Label share.<\/li>\n<li>The Prepaid Company Proprietary&#8217;s subscription remains unchanged at 45% of Cell C for a subscription price of R5.5 billion.<\/li>\n<li>The Prepaid Company has agreed to provide liquidity support, to the extent required, in the form of interest bearing subordinated loans of up to $60 million to a special purpose vehicle set up to hold shares in Cell C.<\/li>\n<\/ul>\n<p>The telco said it has obtained irrevocable undertakings from approximately 53% of shareholders to vote in favour of the Cell C deal, including the vendor consideration placement of R2.75 billion.<\/p>\n<hr \/>\n<p><strong>Read: <a href=\"https:\/\/businesstech.co.za\/news\/telecommunications\/177275\/net1-terminates-deal-with-blue-label\/\" target=\"_blank\" rel=\"noopener\">Net1 terminates deal with Blue Label<\/a><\/strong><\/p>\n","protected":false},"excerpt":{"rendered":"<p>JSE-listed Blue Label says it has signed the final equity transaction agreements to the recapitalisation of mobile operator, Cell C. <\/p>\n","protected":false},"author":10,"featured_media":106809,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[21],"tags":[25,6064,42],"class_list":["post-180007","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-telecommunications","tag-active","tag-blue-label","tag-cell-c"],"_links":{"self":[{"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/posts\/180007","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/users\/10"}],"replies":[{"embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/comments?post=180007"}],"version-history":[{"count":4,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/posts\/180007\/revisions"}],"predecessor-version":[{"id":180027,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/posts\/180007\/revisions\/180027"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/media\/106809"}],"wp:attachment":[{"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/media?parent=180007"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/categories?post=180007"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/tags?post=180007"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}