Vodacom Group President and CEO, Shameel Joosub has said that the company is negotiating with the Tanzanian government and other cell phone operators about possibly expanding the company.
He said, “Should opportunities present themselves for in-market consolidation in Tanzania, we will have a look if the regulatory environment is favourable…We’re having discussions with parties to see if there are opportunities.”
Joosub explained that the telecom company is reviewing potential business opportunities that could help to consolidate its business in the local market.
Vodacom raised about $225 million to become the first and only telecommunications company to so far list on the stock exchange in Tanzania’s commercial capital Dar Es Salaam last year. The share sale was done at almost the same time as Vodacom’s purchase of a 35 percent stake in Kenya’s Safaricom Plc to solidify its position in East Africa.
Vodacom’s shares in Johannesburg have gained 4.5 percent for the year, valuing the company at close to 262 billion rand ($21 billion) in Johannesburg. Rival MTN Group is down almost 11 percent for the year. Vodacom Tanzania’s equities are down 5.9 percent since the IPO.
This new venture will allow Vodacom Tanzania to acquire new subscribers and as well boost their revenues.