Mozambique Telecom is the new state-owned company that has resulted from the merger of public telecommunications companies Telecomunicações de Moçambique (TdM) e Moçambique Celular (MCel), the Mozambican press reported.
The Mozambican government, meeting in the Council of Ministers in July 2016, decided to merge the two public companies, which were almost in a state of insolvency.
The new company “will be equipped with the technological, financial and human resources capable of responding to the demands of the market and will achieve the convergence of fixed and mobile voice, data and Internet services,” said Mouzinho Saíde, the spokesman for the Council of Ministers meeting at the time.
Figures released in 2015, during visits made to the two companies by Prime Minister Carlos Agostinho Rosário, showed that TdM alone needed US$500 million to overcome its financial crisis.
Mozambican newspaper A Verdade reported that Moçambique Celular “had until 2016 an accumulated net debt of 12.8 billion meticals (US$204 million) of which 5.1 billion are liabilities to suppliers and 3.8 billion commitments to national and foreign banks.”
The state-owned mobile phone company had debts with all major domestic and foreign banks, with the largest liabilities being focused on Millennium bim (729 million meticais), Standard Bank (372 million meticais) and Banco Comercial e de Investimentos, to which it owes approximately 320 million meticais. (macauhub)