African Pay-TV operator, Econet Media, which is owned by Zimbabwean billionaire, Strive Masiyiwa’s Econet Group, has placed its struggling satellite broadcasting business under administration.
Joseph Hundah, Econet Media’s CEO, said Econet’s pay-TV company, which operates under the “Kwese” brand name, will soon begin talks with creditors to rescue the business.
Econet Media reportedly racked up more than US$130 million in external liabilities and was unable to pay suppliers. The company has appointed accountants, Ernst & Young, to manage the process.
Kwese TV, which launched in 2014 in more than 10 African countries, has struggled to succeed in a market dominated by Africa’s largest pay-TV operator, MultiChoice, owners of DStv. In November 2018, the company abandoned its initial model and turned its concentration to free-to-air content distribution, a service that will continue to operate in Africa.
A spokesperson for Masiyiwa did not respond to a request for comment at the time of publishing this post.
Zimbabwean billionaire businessman, Strive Masiyiwa, 58, currently has a net worth Forbes estimates at $2.8 billion.
Source: Forbes
