NINE CONDITIONS ON VODACOM’S SAFARICOM STAKE PURCHASE

The Government of Kenya (GOK) has announced a landmark agreement with Vodacom, establishing nine binding conditions to protect Kenya’s national interests, workforce and strategic assets in relation to Vodacom’s proposed acquisition of a significant stake in Safaricom.

The conditions, secured as legally binding undertakings from Vodacom, are designed to ensure the stability, continuity, and Kenyan character of the nation’s leading telecommunications provider. They provide comprehensive safeguards for employees, management, brand identity, corporate social investment andlocal enterprise.

Vodacom has undertaken that no employee redundancies will be declared by Safaricom other than in the ordinary course of business. Vodacom will support the continued existence and operation of both the Safaricom Foundation and the M-Pesa Foundation Academy.

Prior to supporting any new expansion by Safaricom outside of Kenya, Vodacom must consult with the GOK. The Chairman and the Chief Executive Officer of Safaricom shall at all times be citizens of Kenya. No changes to Safaricom’s executive committee, as constituted at the signing date, shall be made without the consent of the Chief Executive Officer. There shall be no changes to the corporate brand, including the Safaricom name, trademarks, logos, or associated branding.

There shall be no significant changes to Safaricom’s local supplier base for the next three (3) years, other than in the ordinary course of business. All trustees of the Safaricom and M-Pesa Foundations must be Kenyan citizens, and all foundation funds must be utilised for projects within Kenya. A critical condition stipulates that no action or decision related to the above safeguards (points 1-8) can be undertaken without the prior written consent of the Government of Kenya.

These conditions represent a robust framework to ensure that Safaricom remains anchored in Kenya’s socio-economic ecosystem. They guarantee that the company’s strategic direction, philanthropic efforts, and operational identity continue to serve the interests of the Kenyan people.