Saudis to inject $180 million into cellphone company in South Africa

Oger Telecom, 35-percent owned by Saudi Telecom, will inject $180 million into its South African subsidiary Cell C to improve the coverage and quality of the unit’s network, the Dubai-based firm said.  

Cell C has about 13% of the mobile market in Africa’s top economy, but is a distant third to MTN and Vodacom and earlier this year its newly appointed chief executive was reported as saying the firm’s strategy would be to take customers from its larger rivals.  

To facilitate this, majority shareholder Oger will inject $180 million into Cell C.  

“The funding will be used to support the company’s plans, which include the funding of new products and enhancing the quality and coverage of Cell C’s network,” Oger said in an emailed statement.  

The investment will not alter Oger’s 75% holding in Cell C, with the remaining 25% owned by black empowerment group CellSaf.