Vodafone Group Plc agreed to transfer its 55% shareholding in Vodafone Egypt to Vodacom, its sub-Saharan African subsidiary. The deal values Vodafone’s 55% shareholding in Vodafone Egypt at €2,722 million on a debt free, cash free basis, implying a multiple for the last twelve month period ended 30 September 2021 of 7.3x Adjusted EBITDAaL and 12.2x Adjusted OpFCF2.
The companies said the transaction will generate clear benefits:
- Vodafone simplifies the management of its African holdings;
- Vodacom gains exposure to another leading business in an attractive market, diversifying its portfolio and accelerating its growth profile; and
- Vodafone Egypt will benefit from closer co-operation with Vodacom, enabling it to accelerate growth in financial services and IoT.