The government expects to receive Sh204.3 billion by Friday from the sale of an additional 20 per cent stake in Safaricom, concluding one of the largest corporate transactions in Kenya’s history, according to National Treasury Cabinet Secretary John Mbadi.
The transaction involved the sale of 6,009,814,200 ordinary shares to South African telecommunications firm Vodacom at Sh34 per share, following a ruling by the Court of Appeal that cleared the way for the deal.
The acquisition increases Vodacom’s shareholding in Safaricom PLC to 55 per cent, making it the company’s majority shareholder, while the Government of Kenya retains a 20 per cent stake in the telecommunications firm listed on the Nairobi Securities Exchange (NSE).
The agreement was first announced in December 2025.
Speaking during an interview on Citizen TV on Wednesday evening, Mbadi said all legal obstacles had been resolved and the transaction had now been finalised.
“We don’t have any legal hurdles now and we have concluded the transaction. I’m very confident that on Friday, we will have the money in our accounts, that is the over Sh200 billion,” he said.
Mbadi said the proceeds would be channelled into the National Infrastructure Fund, which also received Sh103 billion generated from the Kenya Pipeline Company initial public offering.
The fund was established to leverage public capital alongside private investment to finance commercially viable infrastructure projects across the country.
According to the Treasury CS, the money will be used to support strategic infrastructure investments, including roads, energy projects, water systems and airports, in line with the government’s long-term development priorities.
He rejected calls for the funds to be deposited into the Consolidated Fund, saying such a move would be inconsistent with the legal framework governing the transaction.
The Consolidated Fund is the main account into which national government revenues are paid and from which public expenditure is financed, except where legislation provides otherwise.
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Mbadi said safeguards had been put in place to ensure the funds are used exclusively for infrastructure development, adding that no disbursements would be made until the National Infrastructure Fund’s board is fully constituted.
He noted that interviews for independent board members had already been completed and appointments would be announced soon.
“We have completed the interviews for independent board members and we will make the announcement very soon,” he said.
He added that the board should be in place within two weeks. The fund’s Governing Council, which is already operational, is chaired by the Treasury Cabinet Secretary and includes senior officials such as the Attorney General and the Central Bank of Kenya Governor.
The board will consist of the chief executive officer and four independent directors.
When unveiling the transaction, Mbadi described the stake sale as a strategic decision aimed at unlocking value from the government’s 25-year investment in Safaricom.
He maintained that the sale was conducted transparently, complied with the law and received parliamentary approval, while emphasising that Kenya would remain Safaricom’s home even after Vodacom became the majority shareholder.
