The transfer of Vodafone International Holdings B.V.’s 70% ownership stake in Ghana Telecommunications Company Limited (Vodafone Ghana) to Telecel Group has received conditional permission from the National Communications Authority (NCA).
This is dependent on the seller making certain adjustments and the buyer giving the NCA certain assurances.
The NCA confirmed the amended buyer proposal in a statement.
“The NCA found the revised proposals provided more clarity and certainty in terms of the funding required for the acquisition and the commitments from both the Seller and the Buyer. In addition, the buyer has strengthened the overall governance and management team and made firm commitment towards meeting the regulatory requirements of the NCA. Based on the above, the NCA confirms that the revised proposal from the Buyer now meets the regulatory threshold and hence has granted a conditional approval for the transfer of shares to the Buyer including submissions of strategies for employee retention” part of the statement reads.
In order to ensure a smooth transition and service continuity, it gave the general public and all stakeholders the assurance that it would keep working with Vodafone Ghana and the buyer to complete all outstanding regulatory procedures.
Recall that in January 2022, Vodafone Ghana submitted a request to the NCA for the sale of 70% of the company’s majority shares, which were held by the seller, to the buyer.
The Buyer and Vodafone Ghana were both involved in the National Communications Authority’s evaluation of the application based on numerous criteria.
At the time, the NCA came to the conclusion that the request did not satisfy the legal requirements for approval to be given.
The buyer resubmitted a new financial and technical proposal in December 2022 in response to the NCA’s decision, demonstrating the required capital investment to expand the rollout of 4G and introduce cutting-edge Fintech solutions.
The amended plan, according to the NCA, offered additional certainty and clarity regarding the financing needed for the transaction as well as the pledges from both the Seller and the Buyer.
The Buyer has also vowed firmly to comply with the NCA’s regulatory obligations while strengthening the team’s overall governance and management.
