Vodafone Group’s African subsidiary, Vodacom Group Ltd (“Vodacom”), has announced a major move to acquire an effective 20% stake in Kenya’s leading telecom operator, Safaricom Plc (“Safaricom”). The acquisition will see Vodacom gain significant influence over one of Africa’s most prominent telecoms and fintech businesses.
Under the terms of the deal, Vodacom will purchase 15% of Safaricom’s issued share capital from the Government of Kenya for a cash consideration of €1.36 billion (approximately KES 204 billion). An additional 5% stake will be acquired from Vodafone for €0.45 billion (around KES 68 billion). Following the transaction, Safaricom’s ownership structure will comprise Vodacom with 55%, the Government of Kenya with 20%, and public investors holding the remaining 25%. Both Vodacom and Vodafone will consolidate Safaricom into their financial statements.
The acquisition represents a strategic milestone for both Vodafone and Vodacom. Safaricom, listed on the Nairobi Securities Exchange, is Kenya’s largest telecom company, boasting a market capitalization of €7.7 billion. Beyond its extensive telecommunications network, Safaricom operates M-Pesa, a world-leading mobile money platform with over 100 million daily transactions and 38 million customers in Kenya. Safaricom also holds a majority stake in Safaricom Ethiopia and owns significant tower and spectrum assets in Kenya.
Read Also: Safaricom Reports Strong Half- Year Results with 52.1% Growth in Group Net Income
In the six months ending 30 September 2025, Safaricom reported a 9.3% increase in service revenue in Kenya compared to the same period last year, driven by a 14% growth in M-Pesa revenue. The company’s robust performance underscores its importance in both the telecommunications and financial services sectors across the region.
Vodafone Group CEO Margherita Della Valle highlighted the strategic value of the transaction, stating: “In line with our focus on growth, this is an opportunity to gain a controlling shareholding in a highly successful African business in an attractive market. We have enjoyed a successful partnership with Safaricom since 2000, including the co-development of M-Pesa, which has brought wide-ranging financial inclusion to millions of customers.”
Completion of the acquisition remains subject to various regulatory approvals, including those in Kenya, South Africa, and Ethiopia. The transaction is expected to be finalized in the first quarter of the 2026 calendar year.
Source: Vodafone Group PLC
