Tanzania waives listing requirement for Airtel

1 Jul 2019

The government of Tanzania has allowed Airtel Tanzania to defer its listing on the Dar es Salaam Stock Exchange (DSE), reports The East African. In June 2016 an amendment to the Electronic and Postal Communications Act of 2010 made it a legal requirement for the country’s telecoms operators to float 25% of their shares on the DSE, but Airtel has received a waiver of the listing requirement pursuant to settlement arrangements agreed with the government last month.

Indian telecoms firm Bharti Airtel agreed to pay TZS60 billion (USD26 million) over a five-year period to resolve a dispute with the Tanzanian government over the ownership of its local mobile unit. Bharti Airtel also cancelled USD407 million of debt owed to it by Airtel Tanzania as part of the settlement. In return, the firm agreed to hand over part of its stake to reduce its shareholding from 60% to 51%, with state ownership rising from 40% to 49%.

Tanzania, Airtel Tanzania, Bharti Airtel