Vodafone Kenya to Acquire Additional 15% Safaricom Stake in Major Restructuring
Under the proposed transaction, Vodafone Kenya plans to purchase 6.01 billion ordinary shares from the government, representing the full 15% stake being divested.
Safaricom PLC has announced that Vodafone Kenya Limited has formally declared its intention to acquire an additional 15% stake in the company from the Government of Kenya, deepening its control of East Africa’s largest telecommunications operator. The notice, served on 3 December 2025, also outlines a parallel internal reorganisation within Vodafone’s corporate structure.
Under the proposed transaction, Vodafone Kenya plans to purchase 6.01 billion ordinary shares from the government, representing the full 15% stake being divested. The deal is valued at approximately KES 204.3 billion (USD 1.6 billion), or KES 34 per share. At the same time, Vodacom Group Limited—already the majority shareholder in Vodafone Kenya—intends to consolidate ownership by increasing its stake in Vodafone Kenya to 100%. This restructuring involves acquiring Vodafone International Holdings B.V.’s 12.5% shareholding in the Kenyan subsidiary for KES 68.1 billion (USD 0.5 billion), effectively giving Vodacom indirect control of about 55% of Safaricom’s issued shares.
Once completed, the combined transactions will elevate Vodafone Kenya’s ownership in Safaricom to 55%, reducing the Government of Kenya’s shareholding to about 20%, with the remaining 25% held by public investors.
By securing the additional shares, Vodafone Kenya will technically attain effective control of Safaricom under Kenya’s take-over regulations. However, the company has stated that it does not intend to pursue a full mandatory take-over of Safaricom. Instead, it is seeking an exemption from the Capital Markets Authority to avoid initiating such a process.
The proposal also includes a separate arrangement in which Vodafone Kenya will make an upfront payment of KES 40.2 billion to the government in exchange for future dividends tied to the state’s remaining 20% stake.
The entire transaction is subject to approvals from multiple Kenyan regulatory bodies, including the Cabinet, Parliament, Capital Markets Authority, Communications Authority, Central Bank of Kenya, COMESA Competition Commission, and the East African Community Competition Authority.
Safaricom has advised shareholders and the broader investment community to exercise caution while trading its shares until the regulatory processes are completed. Further updates will be published through official channels as required by law.
