by SAVIOUS KWINIKA
JOHANNESBURG – VODACOM Group has officially completed the purchase of a 55 percent stake in Vodafone Egypt from Vodafone Group.
The South African-headquartered Vodacom has cleared all outstanding regulatory and procedural hurdles.
In November last year, Vodacom announced an agreement to acquire 55 percent of Vodafone Egypt for an equity consideration of around R48,1 billion (US$2,738 billion) and a cash consideration of circa R10,8 billion.
As a result, Vodafone’s shareholding in Vodacom increases from 60,5 percent to 65,1 percent.
Shameel Joosub, Vodacom Group Chief Executive Officer, said this was a milestone that will cement their position as a leading pan-African technology company in addition to diversifying and accelerating their growth profile.
“We are ideally positioned to partner with Vodafone Egypt to unlock the massive addressable market opportunity in Egypt, supporting and accelerating financial and digital inclusion.”
Vodafone Egypt recently delivered strong interim results with local currency service revenue growth of 18,6 percent.
“In addition to being an attractive asset on a standalone basis, we will seek to leverage our financial services product roadmap, including our super-app approach, to accelerate Vodafone Egypt’s financial services opportunity,” Joosub said.
Vodacom will provide an update on its medium-term growth outlook with its next quarterly trading update, which will be published on January 31, 2023.
– CAJ News