Telecommunications firm Telecel Zimbabwe has invited potential investors to bid for an equity stake as it works toward exiting corporate rescue, marking a critical moment in the company’s turnaround efforts.
In a tender notice issued this week, joint corporate rescue practitioners Kundai Tibugare and Bulisa Mbano of Grant Thornton confirmed that interested investors have until 28 April to submit their bids.
The company, currently Zimbabwe’s third-largest mobile network operator behind Econet Wireless Zimbabwe and NetOne, has been under corporate rescue since October 2025. The process was initiated to stabilise operations and restructure its financial position.
While the practitioners did not disclose the valuation of the business, they indicated that shortlisted bidders will gain access to detailed operational and financial information upon signing non-disclosure agreements.
Telecel’s ownership structure has undergone multiple changes over the years. The business was originally established as a joint venture between local investors under the Empowerment Corporation and Telecel International, then controlled by Egypt’s Orascom. In 2016, government-linked entity ZARNet acquired a 60% stake from VimpelCom.
As part of the ongoing rescue proceedings, a legal moratorium remains in place, suspending claims and legal action against the company while restructuring efforts continue.
However, market data from the Postal and Telecommunications Regulatory Authority of Zimbabwe (POTRAZ) highlights the scale of the challenge ahead. Telecel’s subscriber base declined sharply to just over 319,000 users by the end of the second quarter of 2025, underscoring the company’s shrinking market presence in an increasingly competitive sector.
Beyond its core mobile services, Telecel also operates Telecash, a mobile money platform that could form part of its value proposition to prospective investors.
