Blue Label’s shares slide as Cell C’s woes mount on ‘default’
The second downgrade by S&P ratings agency in three months comes after the mobile operator delayed repayments on its airtime-backed facility
27 June 2019 - 08:13
Shares in Cell C's biggest shareholder fell the most in three months on Thursday after S&P Global Ratings downgraded the mobile network operator's debt for the second time in less than three months — this time to reflect that a default is now “a virtual certainty”.
This comes after SA's third mobile operator delayed some repayments on its R1.4bn airtime-backed facility, a move the US ratings agency views as “a distressed exchange and tantamount to selective default, given Cell C’s weak liquidity position”...
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