Vodacom Group says it will commit to fund Safaricom Telecommunications Ethiopia PLC, a new telecommunications services company which was awarded a licence to operate telecom services in Ethiopia in May this year.
Safaricom Ethiopia is owned by an international consortium comprising Safaricom Plc, Vodacom Group, Vodafone Group, Sumitomo Corporation and CDC Group.
Vodacom has a 6.2% stake in the holding company while Kenya’s Safaricom Plc has a majority stake of 55.7%.
In a statement, Vodacom said the license awarded to Safaricom Telecommunications Ethiopia is an opportunity to “build out world-class services in Africa’s second-largest country by population, providing a compelling long-term growth vector.”
EU Commission Approves Safaricom Ethiopia
Earlier this month, the European Commission (EC) approved a joint venture between Safaricom and its parent company Vodafone for entry into Ethiopia.
According to media reports, the commission said the consortium posed no threat to fair competition, paving the way for Vodafone to join its partners for entry into Ethiopia.
Ahead of thecommercial launch in 2022, Safaricom Ethiopia PLC has launched a countrywide staff recruitmentof Ethiopian nationals and has already appointed anexecutive management team.
Anwar Soussa, Managing Director of Safaricom Ethiopia noted that the company aims to build a team of more than 1000 employees driven by innovation and digital solutions.
“We will also offer all employees comprehensive digital training packages, we believe young people are the key to delivering the digital Ethiopia ambitions, we will create a pool of talent of digital innovators who will grow with the business to achieve this,” he told journalists during a press conference held at Safaricom Ethiopia’s offices.