The National Communications Authority (NCA) has granted conditional approval for the transfer of 70% of government’s shares in Ghana Telecommunications Company Limited held by Vodafone Ghana to the Telecel Group.
Earlier last year, it was reported that Telecel Group would be purchasing Vodafone after parent company Vodafone International Holdings B.V had sold its shares to the Government of Ghana.
The government had earlier rejected an application for the transfer of the shares by stating that Telecel Group did not meet the regulatory threshold for approval.
A statement issued by the NCA explained that in accordance with due process, the Authority had evaluated the application on various criteria and engaged with Vodafone Ghana and Buyer.
“Following the NCA’s decision, the Buyer resubmitted a revised financial and technical proposal in December 2022 which demonstrated the needed capital investment to extend the deployment of 4G and launch innovative Fintech solutions,” the NCA stated in a press release.
“The NCA found that the revised proposal provided more clarity and certainty in terms of the funding required for the acquisition and the commitments from both the Seller and Buyer. In addition, the Buyer has strengthened the overall governance and management team and made firm commitments towards meeting the regulatory requirements of the NCA,” it added.
In a separate report, it stated that Vodafone had paid $900 million to the government of Ghana for a 70 percent stake in the company while the government maintains a 30 percent stake.