We've got news for you.

Register on BusinessLIVE at no cost to receive newsletters, read exclusive articles & more.
Register now

Regulations that require mobile operators to share infrastructure would probably be credit negative for the larger companies in the sector, says Mark Habib, director of corporate ratings at S&P Global Ratings. In November, the government published the contentious Electronic Communications Amendment Bill, which proposes that mobile service providers share resources, including spectrum and infrastructure. Citing international examples, Habib said the separation of infrastructure from operating companies tended to have negative credit implications for market leaders. "It’s credit negative in our view, in that [the largest service providers] lose a unique part of their business — their infrastructure, which is a way for them to differentiate themselves from their competitors," Habib said in an interview at S&P’s offices in Johannesburg. "In many markets, there has been some pressure from the government, regulators and sometimes even from the public to see more independence on the part o...

BL Premium

This article is reserved for our subscribers.

A subscription helps you enjoy the best of our business content every day along with benefits such as articles from our international business news partners; ProfileData financial data; and digital access to the Sunday Times and Sunday Times Daily.

Already subscribed? Simply sign in below.

Questions or problems? Email helpdesk@businesslive.co.za or call 0860 52 52 00. Got a subscription voucher? Redeem it now