MTN juggernaut looks at its options
MTN is considering whether it should hold onto its operations in 23 countries or break up over regulatory burdens
With a share price languishing at levels last seen a decade ago, the fabled story of MTN's meteoric rise - through its aggressive expansion in emerging-market countries that were considered no-go areas for rivals such as Vodacom - seems at a crossroads. Should it continue to hold tight to its geographic spread across 23 nations or start seriously considering a break-up of the juggernaut as regulatory burdens in places such as Nigeria morph into deeper structural problems? The company is currently reviewing its footprint. Grappling with its own domestic regulatory issues and falling voice revenues, Telkom is mulling a potential merger with MTN's South African operations, a source close to Telkom said. Early-stage and informal talks have already taken place, according to the source, who asked not to be named because of the sensitivity of the talks. The two operators have been intermittently flirting with one another for years - they were once keen on a deal that would have seen MTN bu...
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