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Johannesburg - Vodacom Group [JSE:VOD] will pay R2.5bn rand in cash to acquire an additional 17% in its Tanzania unit, increasing exposure to one of its few businesses outside its home market.
A unit of Britain's Vodafone, Vodacom is the most popular mobile operator among South Africans but is dwarfed elsewhere on the continent by rival MTN Group [JSE:MTN].
Vodacom said on Tuesday it would indirectly raise its stake in Vodacom Tanzania to 82.2% from 65% by buying new shares in the company's minority shareholder.
It will fund the purchase through cash and existing debt facilities.
It said Tanzania had been its most successful sub-Saharan investment. It is the top mobile operator in the east African nation, with 10 million customers.
The company also has a presence in Mozambique, Lesotho, Nigeria and the Democratic Republic of Congo.
Shares of Vodacom were little changed at R121.76 just before markets close, compared with a 1.3% decline in the benchmark Top-40 index.
A unit of Britain's Vodafone, Vodacom is the most popular mobile operator among South Africans but is dwarfed elsewhere on the continent by rival MTN Group [JSE:MTN].
Vodacom said on Tuesday it would indirectly raise its stake in Vodacom Tanzania to 82.2% from 65% by buying new shares in the company's minority shareholder.
It will fund the purchase through cash and existing debt facilities.
It said Tanzania had been its most successful sub-Saharan investment. It is the top mobile operator in the east African nation, with 10 million customers.
The company also has a presence in Mozambique, Lesotho, Nigeria and the Democratic Republic of Congo.
Shares of Vodacom were little changed at R121.76 just before markets close, compared with a 1.3% decline in the benchmark Top-40 index.
