In a series of developments, the Minister of Communication and Digitisation, Orsula Owusu stated that the Telecel Group was deemed “unsuitable” for the takeover of Vodafone Ghana.
The Minister stated that earlier in the year, the Telecel group approached the government about the takeover of Vodafone Group’s 70% stake.
In a statement, Telecel, confirmed that it has signed a Sale and Purchase Agreement (SPA) with Vodafone to acquire a 70% percent stake in its Ghanaian subsidiary, adding, the agreement is currently pending regulatory approval.
“We have received their responses which have not granted the approvals yet and Telecel is willing to re-engage soon after putting together the necessary clarifications.”
“Telecel Group and Vodafone have been in touch with Ghana’s Ministry for Communications, the Bank of Ghana, and the National Communications Authority, to finalise all the regulatory requirements related to this transaction”, it pointed out.
The Minister had stated that it did done due diligence on Telecel Group and concluded that it did not have the financial muscle and capacity to run Vodafone after the takeover.
The Telecel group hoped to re-engage with the government and successfully conclude the transaction. They explained that their business model is unique and it focuses its strength on overcoming challenges through disruptive innovation.
They stated that Ghana’s business climate suits the business models of Telecel Group and was the key enabling factor based on which the group was able to reach an agreement with Vodafone.
