Vodacom’s R41-billion Egypt acquisition gets shareholder nod

Vodacom Group’s planned acquisition of Vodafone Egypt from its parent, the UK-headquartered Vodafone Group, has received the go-ahead from shareholders.

The proposed acquisition of Vodafone’s 55% stake in Vodafone Egypt won the support of Vodacom minority shareholders, who voted “overwhelmingly” in favour of the transaction. Shareholders met at a general meeting earlier on Tuesday to vote on the deal, and 99% of them gave it the green light.

Shareholders also approved resolutions that pave the way to fund the R41-billion transaction, Vodacom said. These enjoyed greater than 99% support.

Subject to the final outstanding regulatory approvals, Vodacom will fund the acquisition of Vodafone Group’s 55% stake in Vodafone Egypt by issuing 242 million new ordinary shares at R135.75/share in addition to about R8.2-billion in cash.

Vodacom hopes to close the transaction by 31 March, which is also its financial year-end. However, it emphasised that the deal remains conditional on the approval of the JSE, the National Telecom Regulatory Authority of Egypt and Egypt’s Financial Regulatory Authority.  – © 2022 NewsCentral Media

Now read: Vodacom to buy Vodafone Egypt for R41-billion