Vodacom Group to fund Safaricom’s New Mobile Telecoms Company in Ethiopia

Vodacom Group Ltd. has agreed to fund Safaricom Telecommunications Ethiopia PLC, a new mobile telecommunications services provider in Ethiopia.

The company is backed by an international consortium including Safaricom PLC, Vodacom, Vodafone Group PLC, Sumitomo Corp. and CDC Group. Vodacom will have a 6.2% shareholding in the holding company, which will be majority-owned by Safaricom with a 55.7% stake.

Vodacom said the license awarded to Safaricom Telecommunications Ethiopia is an opportunity to build out world-class services in Africa’s second-largest country by population, providing a compelling long-term growth vector.