Telecel Zimbabwe enters voluntary corporate rescue

Telecel Zimbabwe, the country's smallest mobile telecommunications operator, has placed itself under voluntary corporate rescue effective 27 October 2025, in a move aimed at stabilising and reviving its operations.

In a statement, the company's board confirmed that the resolution had been filed with the Master of the High Court and the Registrar of Companies, in line with Section 122 of the Insolvency Act.

The process allows a financially distressed company to come under the supervision of a corporate rescue practitioner, who works to restructure debts, restore viability, and protect the business from liquidation while turnaround efforts are implemented.

According to the Act, a board may initiate such proceedings if it has reasonable grounds to believe that the company is financially distressed but capable of recovery.

"The corporate rescue process is designed to rehabilitate the company and does not signify any intention to liquidate," Telecel said in its statement.

Telecel has in recent years struggled with declining market share, limited investment, and network reliability challenges, falling far behind rivals Econet Wireless and NetOne in both subscriber numbers and coverage.

The company expressed confidence that the supervised rescue process would help it restructure its finances, attract investment, and modernise its network, ensuring continued service to its customers and the preservation of jobs.