Vodacom has completed its acquisition of an additional 15 percent stake in Safaricom, days after the Court of Appeal lifted orders that had blocked the State’s Sh204.3 billion sale.
The South African telecommunications giant said on Tuesday that the transaction has closed, increasing its stake in the Nairobi Securities Exchange-listed operator to 55 percent and giving it majority control.
The deal, first announced in December, was completed three days after the Court of Appeal cleared the transaction, paving the way for the National Treasury to receive Sh204.3 billion from the sale of its 15 percent stake.
Under the transaction, the Treasury will also receive a Sh40.2 billion dividend top-up, structured as a loan backed by Kenya’s remaining 20 percent stake in Safaricom.
“This is a landmark moment for Vodacom, for Safaricom, and for the communities we serve across East Africa. Acquiring majority ownership in Safaricom strengthens our position as a market leader, while at the same time unlocking new opportunities to drive digital and financial inclusion at scale in Kenya and Ethiopia,” Vodacom Group CEO Shameel Joosub said.
