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Johannesburg - Service provider Nashua Mobile has agreed to sell its MTN [JSE:MTN] and Vodacom [JSE:VOD] subscriber bases for a total of about R2.26bn to the two mobile operators, its parent company Reunert [JSE:RLO] said on Monday.
Proceeds from the sales will go towards settling Nashua Mobile’s liabilities and to support Reunert’s growth strategy.
Nashua Mobile is also in talks to sell its Cell C subscriber base.
The company said in a statement that the agreement with MTN and Vodacom comes after its agreements to act as service provider had expired.
After careful consideration, the boards of Nashua Mobile and Reunert decided that it is unlikely that this business would generate acceptable returns.
The deal’s conclusion is subject to approval from competition authorities and the successful sale by Nashua Mobile of its Cell C subscriber base.
Mobile operators in SA are putting pressure on high cost channel partners as mobile termination rates become lower due to greater competition.
Proceeds from the sales will go towards settling Nashua Mobile’s liabilities and to support Reunert’s growth strategy.
Nashua Mobile is also in talks to sell its Cell C subscriber base.
The company said in a statement that the agreement with MTN and Vodacom comes after its agreements to act as service provider had expired.
After careful consideration, the boards of Nashua Mobile and Reunert decided that it is unlikely that this business would generate acceptable returns.
The deal’s conclusion is subject to approval from competition authorities and the successful sale by Nashua Mobile of its Cell C subscriber base.
Mobile operators in SA are putting pressure on high cost channel partners as mobile termination rates become lower due to greater competition.
