Safaricom shareholders will vote later this month on whether to grant Vodafone Kenya the right to nominate the telecom giant’s next Chief Executive Officer.
The proposed corporate governance change follows the British telecom group’s newly acquired majority control of Safaricom, Kenya’s largest listed company.
The proposal will be considered at Safaricom’s annual general meeting on July 31, following the completion of Vodafone Kenya’s acquisition of the Kenyan government’s 15% stake in Safaricom.
The $1.6 billion transaction, completed on June 30, increased Vodafone Kenya’s effective ownership to 55% through its parent company, Vodacom, making it Safaricom’s majority shareholder. The Kenyan government’s stake fell to 20%, while the remaining shares continue to be publicly traded on the Nairobi Securities Exchange.
If approved, Vodafone Kenya will have the right to nominate Safaricom’s CEO for as long as it owns more than 50% of the company’s issued share capital. The nomination would remain subject to approval by Safaricom’s board, preserving the directors’ oversight role in the appointment process.
The proposed amendment forms part of a broader overhaul of Safaricom’s Articles of Association following the change in ownership. Shareholders will vote on several governance revisions intended to align the company’s management structure with its new shareholder composition after Vodafone Kenya became the controlling investor.
The transaction marked a significant shift in the ownership of one of Africa’s most valuable telecommunications companies. For nearly two decades, the Kenyan government remained a major shareholder following Safaricom’s public listing, helping shape the company’s governance alongside Vodafone. The latest stake sale effectively transfers greater strategic influence to Vodafone Kenya while reducing the state’s direct role in corporate decision-making.
Safaricom remains Kenya’s dominant telecommunications operator, serving more than 50 million customers across mobile, broadband and digital financial services. Its mobile money platform, M-Pesa, has become a cornerstone of Kenya’s financial system and one of the country’s most successful technology exports.
The governance changes are not expected to affect Safaricom’s day-to-day operations immediately. Current Chief Executive Peter Ndegwa remains in office, and the proposed amendments relate to the process for selecting future chief executives rather than replacing the incumbent.
The shareholder vote will be closely watched by investors as it marks another milestone in Safaricom’s evolution from a state-backed telecommunications operator into a company controlled by a strategic private investor. Approval would formally recognise Vodafone Kenya’s authority to nominate future chief executives, reinforcing its influence over the company’s long-term strategy while maintaining board oversight of executive appointments.
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Emmanuel Abara Benson is a business journalist and editor covering artificial intelligence, global markets, and emerging technology.
He has previously worked with Business Insider Africa and Nairametrics, reporting on finance, startups, and innovation.
His work focuses on AI, digital economy, and global tech trends.
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