Oger Telekom said to be considering all options for Cell C

Cell C is exploring options for the third-largest South African cellco including a possible sale to domestic competitors, according to two people familiar with the matter.

Cell C, which is majority owned by Dubai-based Oger Telecom, is working with Goldman Sachs on the review, said people familiar with the developments.

The wireless provider had about 20 million customers as of January 2015, according to Cell C numbers. Market leader Vodacom Group reported more than 31 million active customers in South Africa as of the end of last year.

Cell C’s survival is at risk as the company’s two larger competitors, Vodacom and MTN, seek transactions to strengthen their dominance in Africa’s second-largest economy, Cell C CEO Jose Dos Santos told lawmakers in November. Cell C reduced staff last year after South Africa’s communications regulator scaled back plans to reduce the cost of interconnect, a proposal aimed at helping smaller carriers.

Oger Telecom is the telecommunications unit of Saudi Oger, which is the majority owner of Turk Telekom.

The company has invested US$450 million in the business in the last two years, it said in a statement.