Blue Label Telecoms has secured new buyers to acquire shares in the business for R2bn after Net1 UEPS Technologies decided to reverse an earlier decision to purchase a 15% interest for the same amount. Without giving any reasons for its about-turn, Net1 said on Thursday it would no longer buy a stake in Blue Label but would still acquire a 15% stake in Cell C for R2bn. Blue Label is also buying a 45% interest in Cell C for R5.5bn as part of the recapitalisation programme aimed at reducing the country’s third mobile network operator’s debt. The deal with Cell C, which has 15-million subscribers, will allow Blue Label and Net1 to expand their technology products and services. The new deal is likely to see some of Blue Label’s existing shareholders raising their holding in the firm. New investors may also be introduced. Net1 said it would still proceed with its acquisition of a noncontrolling interest in DNI-4PL, which distributes Cell C’s SIM card starter packs and pre-paid airtime vo...
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