The SA government extended by two months to October 31 the deadline for bids for a majority stake in the so-called second national operator.

"Given the group's commitment to funding its Africa expansion, we will not participate as an equity player or take exposure in the SNO," M-Cell said in its annual report, referring to the so-called second national network operator (SNO).

"We will consider supporting the SNO with access to our wireless network and other resources, such as call centres, billing facilities and IT infrastructure, if this proves to be economically attractive and should opportunities to do so arise."

Analysts have been concerned that M-Cell could overextend itself if it pursued the South African licence in addition to its Nigerian GSM obligations, which have been hurting the group