South African mobile operator Cell C has revealed plans to stage an initial public offering (IPO) on the Johannesburg Stock Exchange (JSE) by the first quarter of 2020, as it seeks to secure funds to support its fibre-to-the-home (FTTH) ambitions. The exact timing of the IPO will depend on market conditions, CEO Jose Dos Santos noted to Bloomberg, adding: ‘The fundamental thing is that we raise additional capital. We have some nice acquisitions that we are looking at. We are moving into media and content, and we have a strong FTTH play.’
This week Cell C reported its financial results for the six months ended 30 June, with its total revenue increasing from ZAR7.4 billion (USD513.3 million) in 1H17 to ZAR7.8 billion in the period under review. Further, the cellco reported a net loss of ZAR645 million for the six month period, an improvement of 33% compared to the deficit of ZAR968 million registered in the previous year. In operational terms, Cell C saw its mobile user base reach 16.3 million, of which 1.7 million were said to be MVNO customers. The company’s C-Fibre FTTH unit, meanwhile, increased its subscriber base from 3,733 to 16,425 at mid-2018.