Vodacom Tanzania has announced that the prospectus for its initial public offering (IPO) and the subsequent listing of 25% of its shares on the Dar es Salaam Stock Exchange (DSE) has been approved by the Capital Markets and Securities Authority (CMSA). Vodacom Tanzania’s Managing Director Ian Ferrao confirmed that the mobile market leader will offer 560 million shares to the public at TZS850 (USD0.37) per share. The terms agreed by the CMSA value the 25% stake at TZS476 billion. The company, which is majority owned by South Africa’s Vodacom Group (itself a subsidiary of UK-based Vodafone Group), said that details of the IPO, including when and how eligible potential investors will be able to subscribe for the company’s shares, will be announced in due course.
Under the Finance Act of 2016, which amended the Electronic and Postal Communications Act of 2010, the government made it a legal requirement for the country’s telecoms operators to float 25% of their shares on the DSE, notes TeleGeography’s GlobalComms Database.