Cell C listed on the JSE on Thursday, completing a multi-year turnaround that not only reshaped the business but rescued it from the jaws of business collapse.
The shares began trading on Thursday under the code “CCD”, priced at R26.50, giving the operator a market capitalisation of roughly R9-billion. The shares opened at R27 apiece. By 9.25am, about 90 000 shares had changed hands, valued at just under R2.5-million.
The listing follows Cell C’s secondary share sale announced earlier this month, which saw 102 million shares placed with institutional investors, raising R2.7-billion for selling shareholder The Prepaid Company (TPC), part of Blu Label Unlimited Group.
A further 54.2 million shares were allocated to empowerment vehicle Sisonke Growth Partners, ensuring Cell C exceeds the 30% “historically disadvantaged persons” ownership threshold required under communications regulations.
The transaction marks the culmination of a restructuring process that has spanned several years and involved network outsourcing, debt reduction, wholesale renegotiations and a complete shift to an asset-light operating model.
Cell C now buys national radio access from Vodacom and MTN, allowing it to expand its footprint dramatically – from about 5 500 radio sites to more than 28 000 nationwide – without the capital burden of building its own towers.
According to pro forma financials published at the time of the listing, Cell C generated R13.7-billion in revenue in the year to 31 May 2025, with Ebitda of R3.7-billion and net income of R3.5-billion. Debt has fallen to 2.7x operating profit, aided by R2-billion in savings achieved through partner renegotiations.
Competitive market
CEO Jorge Mendes said the company’s leaner model has stabilised the balance sheet and created room to compete on price and service. Cell C has guided that it intends to return 30-50% of free cash flow to shareholders as dividends once conditions allow.
Executives argue that the outsourced network model frees capital for service improvements while giving customers access to the strongest available signal at any location.
Read: Cell C secures R9-billion valuation ahead of JSE debut
With trading now under way and new shareholders onboard, Cell C must prove that the rebuilt business can sustain profitability in a highly competitive market dominated by Vodacom and MTN and a resurgent Telkom. – © 2025 NewsCentral Media
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