Vodacom’s appeal against reversal of R34.52 billion deal gets fast-tracked

Kenya’s Court of Appeal will fast-track the hearing of an appeal of a ruling voiding the sale of a stake in East Africa’s biggest mobile-network operator in a deal of about $1.9 billion (R34.52 billion) to Vodacom.

The court on 13 October decided not to rule on the application but instead recorded to fast-track the substantive appeal, Johannesburg-based Vodacom said in a statement on Friday. 

“The prevailing status quo in respect of the shares and purchase consideration shall be maintained pending the hearing of the appeal,” it said. 

On 15 September, a Kenyan high court ordered that the 15% stake in Safaricom sold to Vodacom be returned to the Treasury.

The sale raised about 204.3 billion shillings ($1.6 billion), along with an additional 40.2 billion shillings from the securitisation of future dividends.

The deal was undertaken in violation of the constitution, while critical documents weren’t disclosed for public scrutiny, and there was no basis for the valuation of the shares, the high court said.