Cell C counts 15.4 per cent market share

South Africa’s smallest mobile network operator, Cell C reported its subscriber base rose by 12 per cent over the past year to end-June to reach 8.2 million customers, boosted by prepaid subscriber growth.

The rise in the customer base was reflected in Cell C’s market share, which increased to 15.4 per cent, while customer churn decreased by 14 per cent year-on-year.

Between August 2010 and June 2011, Cell C grew its data subscriber base to 120 000 customers.

Full-year revenue also increased by five per cent year-on-year to ZAR10.2 billion (US$1.42 billion), while EBITDA remained unchanged at ZAR1.4 billion, due largely to costs relating to the increased infrastructure and rebranding activities. As an unlisted company, it does not issue a net loss figure.

“As the board, we are pleased with the performance and progress that Cell C has made over the last year,” said non-executive chairman and acting CEO of Cell C, Simon Duffy.

In the past 12 months to end-June, Cell C acquired a US$360 million facility from China Development Bank to finance 100 per cent of ZTE’s network rollout.

The cellco also agreed to American Tower Corporation acquiring 1,365 existing sites (of which 1,288 have already been transferred), for which Cell C will receive US$200 million with an option to transfer up to 1,800 more sites. 

Cell C is 100 per cent owned by 3C Telecommunications, which is 60 per cent owned by Oger Telecom South Africa, a division of Saudi Oger; which is in part owned by Saudi Telecom.