Vodafone to sell its business in Ghana to Telecel
Vodafone is reportedly selling its operations in Ghana to Telecel Group according to insiders who sought anonymity.
The company runs Vodafone Ghana and has operated in that market since 2008. At the time, the company paid $900 million for a 70% stake in Ghana Telecommunications Co., while The government retained a 30% holding in the business.
Bloomberg reports that the company’s chief executive officer has been focusing the group’s interest in Europe and Africa.
Vodafone’s African operations are spearheaded by Vodacom group ltd where it owns a 60.5% stake.
The first time information about the sale of the Ghanaian business emerged was in early 2021, although the deal didn’t materialize. However, Vodafone ceded 55% of its Egyptian operations to Vodacom later that year, signifying a shift in its business interests across the continent.
There were however reports that The Ghanaian National Communications Authority (NCA) had blocked the sale. NCA has however come out to deny these reports saying it received an application for the transfer of 70% majority shares in Vodafone Ghana to Telecel in January this year, but it did not meet the standards required for approval.
“After critical regulatory review and evaluation, the NCA concluded that the request did not meet the regulatory threshold for approval to be granted,” the NCA said in a statement.
The company that was founded in 1986 has operations in more than 30 countries and has more than 700 employees.
It’s also reported to have partner networks in 48 countries. It is listed on the London Stock Exchange. In Kenya, Vodafone holds 40% of the region’s leading telco Safaricom.