Telecel has agreed to acquire Vodafone Ghana.
This comes after British telecommunications company Vodafone announced plans to sell Telecel Group a 70% share in Vodafone Ghana.
The transaction will enable the British juggernaut to focus on its major markets, albeit it is still subject to “certain conditions.” According to Bloomberg, which cited people with knowledge of the situation, Telecel intends to subsequently sell the cell towers owned by the Ghanaian company to help fund the acquisition,
By investing $900 million in Ghana Telecommunications Co. for a 70% interest, Vodafone joined the country’s telecom industry in 2008. The remaining 30% is owned by the government.
As part of a reorganisation process, Vodafone declared in 2021 that it was considering selling its stake in the Ghanaian business to its African affiliate Vodacom. According to the local regulator, the subscriber base of the Ghanaian subsidiary has decreased recently, moving from 9,407,144 at the end of September 2019 to 7,882,497 at the end of February 2022.
Four months after Telecel acquired Mauritanian-Tunisian Telecommunications Company (Mattel) for an undisclosed sum, the deal was announced. If the new agreement is approved, it will increase its influence in Africa.
The Government of Ghana, through the National Communications Authority, has given the green light for the sale of Vodafone Ghana to Telecel.
According to the NCA, it will not serve as a stumbling block from letting the telecommunication company be sold.
According to rumours, the NCA has prevented the transfer of the Telecel Group’s 70% ownership of Vodafone International Holdings B.V.’s shares.
However, according to a statement from the Authority dated Tuesday, August 2, it only carried out a crucial regulatory examination and evaluation in January after being informed about the deal.
It urged everyone to ignore the most recent reports.