MTN and Cell C are believed to be in discussions over a possible infrastructure sharing deal, a well placed industry source has told MyBroadband.<\/p>\n
The deal is understood be similar to the proposed deal between Telkom and MTN, the talks of which are still ongoing, but nearing conclusion.<\/p>\n
MTN signed an agreement with Telkom in March 2014 which would see it take over financial and operational responsibility for the rollout and operation of Telkom\u2019s radio access network (RAN).<\/p>\n
A deal between Cell C and MTN would enable the former to expand its mobile coverage while also reducing its operating costs and capital expenditure.<\/p>\n
Questions have been raised about the quality of Cell C’s network in the past, while the group has a far smaller capex budget than its rivals.<\/p>\n
When questioned over a potential deal, Eben Albertyn, chief technical officer, MTN SA, said: \u201cMTN continues to look for value-enhancing opportunities, including M&A, as part of its long-term growth strategy. However, we don\u2019t comment on market speculation.”<\/p>\n
Cell C did not reply to questions by the time of publication.<\/p>\n
Telkom and MTN tie up network agreement<\/strong><\/a><\/p>\n