South African mobile operator Vodacom will become a publicly traded entity with its listing on the Johannesburg Stock Exchange (JSE) on 5 May 2009. The listing forms part of a range of structured ownership deals, including the sale by Telkom of a 15% stake in the company to Vodafone. This transaction will increase the UK-based operator’s share in Vodacom to 65%.
The current ownership structure of Vodacom sees an equal 50/50 stake in the company held by Telkom and Vodafone respectively. Says Pieter Uys, Vodacom CEO, about the imminent listing: “The listing of Vodacom will offer investors direct access to a well established communications company with a unique platform for growth. This is an important event in the history of the company as we become a public company whilst also continuing to benefit from being part of the Vodafone Group.”
The company is also planning some changes to its board in anticipation of its public listing. The board will be made up of thirteen directors of which ten will be non-executive. The non-executive chairperson shall be Peter Moyo, formerly CEO of Alexander Forbes Limited and Deputy Managing Director of Old Mutual Life Assurance Company South Africa. The South African Government shall be able to nominate one director as long as it holds a minimum 10% of publicly traded shares in the entity.
As of the end of 2008, Vodacom had a subscriber base of about 38 million people, making use of the company’s mobile voice and data service offerings.
