NewsBite analysis · Business, Startups, Telecom · Funding Round
TechCabal
South Africa's Cell C finds a new growth engine in MVNOs
Cell C is transitioning its business model from direct consumer sales to supporting mobile virtual network operators (MVNOs) through its infrastructure. This shift has been marked by substantial financial growth, generating R1.8 billion in revenue and capturing 80-85% of South Africa's MVNO market. Group CEO Jorge Mendes highlighted the importance of this strategy for future profitability, especially as the company expects to navigate lower termination rates and new data regulations in the coming year.
MonitorConfidence: HighShort term horizon
Published 21 Aug 2026, 16:31 UTC2 min read
Visit original article ↗Lead image — TechCabal
Summary
TL;DR
- Cell C's wholesale business generated R1.8 billion in FY26 revenue.
- The company holds 80-85% of South Africa’s MVNO market.
- Cell C's model reduces infrastructure costs for partners.
- CEO Jorge Mendes cites double-digit revenue growth expectations.
- The company’s net debt significantly decreased from R5.7 billion to R2.02 billion.
Interesting facts
- Cell C has effectively pivoted from recovery to growth after their restructuring.
- The company expects its postpaid business to improve following an acquisition.
Coverage gaps