Vodafone Kenya to Acquire Government’s 15% Stake in Safaricom in KSh 204.3 Billion Deal
Safaricom has confirmed that Vodafone Kenya Limited plans to acquire the Government of Kenya’s 15 percent stake in the telecom giant for KSh 204.3 billion.
In a public announcement issued on Thursday, December 4, 2025, Safaricom, through its Company Secretary, Linda Wambani, revealed that it had received a Notice of Intention from Vodafone Kenya indicating plans to purchase 6.01 billion ordinary shares held by the government at KSh 34.00 per share, a 21 percent premium over Safaricom’s closing price of KSh 28.20.
“The shareholders of Safaricom PLC (“Safaricom”) are advised that on 03 December 2025, Safaricom was served with a notice of intention by Vodafone Kenya Limited (“Vodafone Kenya”) not to make a mandatory takeover offer to the shareholders of Safaricom PLC (“Notice of Intention”).
The Notice of Intention notifies Safaricom that Vodafone Kenya has an intention to acquire an additional 6,009,814,200 ordinary shares (the “Additional Shares”) in Safaricom from the Government of Kenya (“GOK”), representing a 15% stake in Safaricom (the “GOK Share Acquisition”),” read the notice.
Vodafone Kenya sent a formal Notice of Intention signaling their desire to purchase approximately 6.01 billion ordinary shares at KSh 34.00 per share, a 21 percent premium over Safaricom’s closing price.
This acquisition is part of a broader restructuring intended to consolidate Vodafone’s entire shareholding under Vodafone Kenya, which will then hold an indirect 55 percent stake in Safaricom.
Under the restructuring, Vodacom Group Limited is set to acquire Vodafone International Holdings’ remaining 12.5 percent stake in Vodafone Kenya, giving Vodacom full ownership of Vodafone Kenya.
Post-transaction, the Government of Kenya will retain a 20 percent direct ownership in Safaricom, while public investors will continue to hold approximately 25 percent.
Vodafone Kenya will also pay the government KSh 40.2 billion upfront for the rights to future dividends linked to the government’s remaining 20 percent shareholding.
“Vodafone Kenya does NOT intend to launch a takeover offer of Safaricom. In this regard, Vodafone Kenya will be applying to the Capital Markets Authority of Kenya (“CMA”) for an exemption under regulation 5(1) of the Take-over Regulations from complying with the mandatory take-over procedures set out in regulation 4 of the Take-over Regulations,” read the announcement.
Despite surpassing regulatory thresholds that would normally require a takeover bid, Vodafone Kenya has stated it does not intend to make a mandatory takeover offer.
The Government aims to channel the proceeds from the partial divestiture totaling KSh 244.5 billion into the Infrastructure Fund, which finances strategic national projects in sectors like airports, energy, water, and roads.
Safaricom’s shareholding structure will shift to 55 percent Vodacom Group, 25 percent public investors, and 20 percent government.
Vodafone Kenya intends to maintain Safaricom’s listing on the Nairobi Securities Exchange, signaling continued engagement with Kenyan investors and the market.
This deal marks a significant reshaping of Safaricom’s ownership, reinforcing Vodafone’s position as the primary strategic shareholder while maintaining government participation for ongoing national interests.
Investors have been cautioned to exercise care in trading Safaricom shares until regulatory approvals are completed.