Kenya will sell 15 percent of its stake in Safaricom to Vodacom Group in a transaction valued at about 1.6 billion dollars, according to statements released by the government and the company. The sale will raise Vodacom’s shareholding to 55 percent, while the government’s stake will reduce to 20 percent and public investors maintain 25 percent, as reported by Reuters.
Vodacom will pay 34 Kenyan shillings per share, a premium to recent market prices, and will also acquire the rights to future dividends on the government’s remaining 20 percent stake for an upfront payment of 40.2 billion shillings. These financial details were highlighted on TradingView, citing information from the transaction documents.
Government officials said the proceeds will be channelled into Kenya’s Infrastructure Fund to support major investments in energy, water, transportation and aviation. This divestment is part of a broader strategy to unlock capital from state assets and strengthen non tax revenue for the 2025 to 2026 fiscal cycle, as reported by The Kenya Times.
Safaricom confirmed that the transaction will not trigger a takeover bid and that the company will remain listed on the Nairobi Securities Exchange. Vodacom also clarified that the deal does not amount to a hostile acquisition, and that retail and institutional shareholders will continue to trade their shares freely, according to TradingView’s report.
