Cell C officially listed on the Johannesburg Stock Exchange (JSE) on Thursday, concluding a multi-year restructuring that transformed the business and steered it away from near collapse. The shares began trading under the ticker “CCD” at R26.50, giving the mobile operator a market capitalization of approximately R9 billion. The stock opened at R27, and by 9:25 a.m., nearly 90,000 shares had changed hands, valued at just under R2.5 million.
The listing follows a secondary share sale earlier this month, where 102 million shares were placed with institutional investors, generating R2.7 billion for selling shareholder The Prepaid Company (TPC), part of the Blu Label Unlimited Group. Additionally, 54.2 million shares were allocated to Sisonke Growth Partners, an empowerment vehicle, ensuring Cell C surpasses the 30% historically disadvantaged ownership threshold mandated by communications regulations.
The transaction caps a comprehensive turnaround strategy spanning several years, which included:
- Network outsourcing
- Debt reduction and wholesale renegotiations
- Transition to an asset-light operating model
Under this model, Cell C now purchases national radio access from Vodacom and MTN, expanding its footprint from 5,500 radio sites to more than 28,000 nationwide—without the capital burden of building its own infrastructure.
Pro forma financials released at the time of listing show:
- Revenue: R13.7 billion (year ended 31 May 2025)
- EBITDA: R3.7 billion
- Net income: R3.5 billion
- Debt has been reduced to 2.7x operating profit, supported by R2 billion in savings from partner renegotiations.
Cell C CEO Jorge Mendes emphasized that the leaner operating model has stabilized the balance sheet and created room to compete on price and service. The company plans to return 30–50% of free cash flow to shareholders as dividends when conditions permit.
Executives argue that outsourcing network operations frees capital for service improvements while ensuring customers access the strongest available signal at any location. With trading underway and new shareholders onboard, Cell C faces the challenge of sustaining profitability in a highly competitive market dominated by Vodacom, MTN, and a resurgent Telkom.
