Helios mulls purchase of Telkom Kenya stake

3 Sep 2015

African private equity firm Helios Investment Partners is considering the purchase of a controlling stake in Telkom Kenya, the country’s incumbent fixed and mobile operator, from Orange Group, according to a report by Business Daily. Previously, in November last year, an attempt by the French company to sell its 70% stake in Telkom Kenya to Vietnamese telecoms firm Viettel fell through. Viettel reportedly pulled out of the deal after the Kenyan government – which owns the remaining 30% of Telkom – rejected a number of its conditions for the deal.

‘[Orange Group] previously had discussions with a number of buyers, including Viettel, who came up with a lot of demands — some touching on the government — that led to the collapse of the buyout,’ said treasury secretary Henry Rotich, adding: ‘What followed is we asked [Orange] to only bring to us serious investors and, yes, they have told us that Helios is a serious buyer.’ The investment firm is understood to be considering the acquisition of a 51% stake in Telkom Kenya, leaving the government with a 29% holding, and with Orange retaining a 20% stake.

Kenya, Helios Investment Partners, Orange Group, Telkom Kenya