Things to know about "Vodacom" buyer of Vodafone's stake in Egypt by $2.47B



Wed, 10 Nov 2021 - 04:13 GMT


Wed, 10 Nov 2021 - 04:13 GMT

Vodacom logo

Vodacom logo

CAIRO – 10 November 2021: Vodafone International Group has approved the purchase offer submitted by Vodacom, its South African subsidiary, to sell its stake in Egypt for $2.47 billion.

According to Vodafone group statement, it’s expected to finalize the deal in March 2022.

It seems that the sale process is close and almost certain, since the purchase offer was submitted by a sister company, Vodacom for telecommunications and financial services.

Egypt Today presents information about Vodacom Company, the buyer of Vodafone Group's stake in Egypt 

Vodacom Telecom operates in many African countries, including: South Africa, Tanzania, Kenya, Mozambique, Congo, and Lesotho, with a market capitalization of $16.63 billion.

Vodafone International Group owns 60.5% of Vodacom, while the share of the South African Government Employee Pension Fund is 13.54%m and Wheatfield Investments, also located in South Africa, and working in the telecommunications and technology sector, owns 6.23%.

The rest of the ownership percentage is distributed to a group of different investors in addition to the founders' shares.

Vodacom, listed on the Johannesburg Stock Exchange in South Africa, achieved a net profit during the past fiscal year of 17.07 billion rand (the currency of South Africa), equivalent to about 1.3 billion dollars, according to its financial statements.

Information Telecom Egypt

Vodafone Egypt has informed Telecom Egypt about receiving an initial offer from Vodacom for the Transfer of Vodafone group’s stake in the company to Vodacom, According to Telecom Egypt.

Telecome Egypt, which owns 44.95 percent of Vodafone Egypt, illustrated that the current modified shareholders’ agreement signed on 7 June 2021 by Vodafone Egypt’s  shareholders grants TE enhanced rights and benefits and allows VFG to transfer its shareholding in VFE within the broader Vodafone Group (as has been disclosed earlier).

The latter is conditional on the new shareholder submitting a deed of adherence to the new amended shareholders agreement, which Vodafone Egypt management has confirmed that Vodacom has committed to with Vodafone Group.






Leave a Comment

Be Social