The South African government is reportedly considering selling its 13.9% stake in the country’s largest mobile operator, Vodacom.
The government plans to use the proceeds from the sale to bail out state utility company Eskom Holdings, according to a…
The South African government is reportedly considering selling its 13.9% stake in the country’s largest mobile operator, Vodacom.
The government plans to use the proceeds from the sale to bail out state utility company Eskom Holdings, according to a Bloomberg report citing four people familiar with the situation.
Based on Vodacom’s current market capitalisation, the stake is valued at R25.5bn (US$2.3bn).
A spokesman for the operator said it was not aware of any such developments while British telco Vodafone, which has a 65% stake in Vodacom, was unable to comment.
South Africa’s treasury did not respond to a request for comment.
Vodacom is the number one player in South Africa’s mobile market, followed by MTN, Cell C and state-owned Telkom.
It recently agreed to buy 100% of local fixed-line player Neotel for R7bn (US$676.7m).
