Vodacom offloads enterprise operations in five African states
Vodacom plans to sell enterprise activities in Nigeria, Zambia, Ivory Coast, Angola and Ghana, but this will not affect its enterprise business in SA
Vodacom Group, Africa’s largest phone carrier by market value, is selling units serving corporate customers in five African markets to focus on expanding its wireless operations.
The company plans to sell enterprise activities in Nigeria, Zambia and Ivory Coast to Synergy Communications and units in Angola and Ghana to Internet Technologies, Vodacom said in a statement on Friday.
The agreements do not affect its largest enterprise business, in SA. Vodacom’s enterprise activities generate almost R15bn a year, a Vodacom spokesperson said.
“Crucially, Vodacom is not exiting any of the territories related to this transaction and remains focused on continuing to deliver exceptional service to our global and multinational clients in these markets,” Vodacom CEO Shameel Joosub said in the statement.
The move continues a broader effort by Vodacom’s majority owner Vodafone Group to focus investments on Europe, where it faces falling revenue and soaring wireless spectrum costs.
Vodafone slashed its dividend last month to conserve cash. It has already merged its Indian unit with a local rival and has agreed a sale of its business in New Zealand.
Bloomberg