Vodacom faces DRC scrap

6 Apr 2010

The future of Vodacom’s joint venture in the Democratic Republic of Congo (DRC) is expected to be decided today, following a meeting between warring shareholders Vodacom South Africa and its minority partner Congolese Wireless Network (CWN). CWN, which owns 49% of Vodacom Congo, appears keen to end the relationship, saying that it has approached the South African group to buy back its 51%. ‘We have other partners with whom we could work,’ said CWN’s chairman, Alieu Conteh. His company secured a licence and started a network in the DRC before entering a joint venture agreement with Vodacom in 2001. Vodacom rejected CWN’s buyout offer immediately. ‘They have not put a price on the table,’ said Vodacom chief corporate officer Bob Collymore. ‘Even if they did, it would be unlikely that we would sell. We want to stay in the DRC.’ He added that Vodacom was still interested in the partnership, but was also ‘looking at any solution that would make the company work’.

Congo, Dem. Rep., Vodacom Congo (DRC)