British telecommunications giant Vodafone, has agreed to sell its majority stake in Vodafone Ghana to Africa-focused Telecel Group, as it looks to refocus on key markets, a report from Bloomberg says.
When Vodafone entered the Ghana market in 2008, it paid the government $900 million for 70% of Ghana Telecommunications Co. of which the government retained a 30% holding in the business.
Telecel plans to help fund the acquisition by later offloading the Ghana business’s mobile towers, according to people familiar with the matter, who asked not to be identified discussing confidential information.
A representative for Telecel confirmed the talks with Vodafone, but declined to comment further.
Nick Read, Vodafone’s chief executive officer, has been focusing the group on Europe and Africa as he streamlines a sprawling operation that once extended from its Newbury, England headquarters all the way to New Zealand.
In Africa, Vodafone has been steadily consolidating interests under its sub-Saharan subsidiary Vodacom Group Ltd., of which it owns 60.5%.
Vodafone explored a sale of its Ghanaian business to Vodacom in early 2021 and, while that deal did not materialize, transferred a 55% holding in its Egyptian operations to the group later in the year.
Founded in 1986, Telecel operates in more than 30 countries and employs over 700 staff, according to its website. The company has a history of growth through acquisitions, having struck deals in Gibraltar, Liberia and Mauritania in recent years.