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Vodacom in Talks to Take Subscribers From Struggling Rival

  • South African telecom leader seeking to strengthen position
  • Cell C is looking at ways to cut costs, service debt pile
Vodacom Group Ltd. Boosts Growth Forecasts on Rising Network Investment
Photographer: Waldo Swiegers/Bloomberg
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Vodacom Group Ltd. is in talks with Cell C Pty Ltd. about taking on the smaller rival’s contract-paying mobile-phone customers, a move that would strengthen its position as South Africa’s telecom market leader, according to people familiar with the matter.

The unit of the U.K.’s Vodafone Group Plc would gain just over 1 million high-paying subscribers from the deal, said the people, who asked not to be identified as the discussions are ongoing. The talks are at an early stage and could yet fall apart, they said.