South African Wireless Carrier Cell C Downgraded by S&P

South Africa’s third-largest wireless carrier, Cell C Pty Ltd, had its credit rating cut to D by rating agency S&P Global after it failed to make interest payments due in July, Bloomberg News reported. There is “an increased likelihood that Cell C will be unable to repay all or substantially all of the obligations as they come due, unless it is able to restructure its debt and recapitalize its balance sheet,” S&P said in a statement on Thursday. Cell C suspended the payments as part of an effort to recapitalize the company and increase liquidity, Chief Executive Officer Douglas Craigie Stevenson said in an interview in Cape Town on Thursday. Deloitte & Touche has been appointed to determine the correct capital structure for the business, he said. “We are in talks with our lenders to work on our debt profile,” Craigie Stevenson said. Read more