Nedbank snaps up a third of GloCell
Nedbank Capital has acquired a 32,9% stake in cellular service provider GloCell in a private equity transaction for an undisclosed sum.
GloCell is one of South Africa’s largest distributors of prepaid cellular airtime. It connects about 4m mobile users on behalf of the network operators annually.
It has 8 000 channel partners, including retailers, dealers and wholesalers. It also sells airtime through its subsidiary Jabba Mobile, which distributes products through field agents.
Nedbank Capital’s head of private equity, Clive Howell, says GloCell has strong growth potential, especially in the Southern African prepaid market.
“Nedbank Capital believes that GloCell is well positioned as a leading player in an industry that has real growth potential, and we anticipate that our investment in the business will serve as a catalyst for its future growth,” Howell says in a statement.
GloCell, which was founded in 2001, today turns over R5bn/year. Investec Bank is named on its website as a major shareholder.
GloCell CEO Alessandro Mariola says the private equity deal will allow the company to meet its long-term business strategy and “maximise opportunities to expand the reach, value proposition and competitive advantage of the business”.
Source: Techcentral 11 February 2015