South African operator Cell C's board has rejected proposal from Telkom to acquire the mobile operator and said it is "unable and not willing to pursue any discussion" with the fixed line operator. Board chairman Mohammed Hariri said that Cell C has already entered into legally binding agreements through which it has committed to a recapitalisation with Blue Label Telecoms, among other parties. He confirmed that Cell C’s board has received an unsolicited, non-binding and conditional proposal from Telkom, but that after a board meeting on 22 February, the proposal was rejected, and no discussions will take place.
The board said Cell C has undertaken not to enter into any agreement, incur any obligation or take any action which might restrict it or any of its affiliates from complying with its obligations under the recapitalisation agreements, or which could result in the transactions not completing. Cell C said it has every intention of complying with those obligations.
