Blue Label confirms landmark 3G Mobile

By TINTSWALO BALOYI
JOHANNESBURG, (CAJ News) – BLUE Label has confirmed the acquisition of 3G Mobile in a deal valued at R1,9 billion (US$142 million).The acquisition of the 47,37 stake has become effective following the implementation of Cell C’s re-capitalisation announced earlier on Monday.“The acquisition of 3G Mobile is earnings accretive from the get-go,” said Brett Levy, joint CEO of Blue Label.He said 3G Mobile would provide a solid foundation for handset and tablet distribution in complementing Blue Label’s existing range of mobile products and services, now all housed under one roof, serving South Africa and beyond.
Mark Levy, joint CEO at Blue Label, disclosed of the R1,9 billion purchase price, R900 million was settled as to R250 million in Blue Label shares plus R650 million in cash, while the remaining 52,63 percent tranche will be settled in R1 billion cash.
Levy said the acquisition of 3G Mobile aligned perfectly with Blue Label’s strategy of provisioning products and services to any channel and any customer, through a myriad of payment options.
“We welcome 3G Mobile to the Blue Label family and look forward to its contribution in transforming our business model into a vertically integrated telecoms group” Levy said.
– CAJ News