
The Telkom Kenya merger with Airtel Africa is off after lengthy regulatory delays have apparently contributed to both parties abandoning the deal.
According to Reuters, Telkom Kenya announced earlier this week that it was no longer looking to merge its business with the Kenyan unit of India’s Bharti Airtel. The reason given was the difficulty of getting the regulatory approvals required for the deal.
It’s certainly been a long time since Bharti Airtel announced that Airtel Networks Kenya had agreed to buy Telkom Kenya: in fact the announcement came in February 2019. Telkom Kenya is partly state-owned; the state has a 40& shareholding after a majority stake was sold in 2007. The company is 60% owned by Helios Investment Partners, through a special investment vehicle.
Among the sticking points delaying the merger has been planned job cuts; these were strongly opposed by employees and will now not take place. That said, an Airtel-Telkom merger would have given the market a much more powerful rival to Safaricom’s dominance. The lead operator is said to control more than 60% of the market.
It might also have put the company into a better position to take advantage of a growing demand for internet services, after lockdowns during the coronavirus crisis forced many Kenyans to work and learn from home.
Full Content: Reuters
Want more news? Subscribe to CPI’s free daily newsletter for more headlines and updates on antitrust developments around the world.
Featured News
Automakers Challenge Maine’s Right to Repair Law
Feb 12, 2025 by
CPI
Senators Urged to Expedite Gail Slater’s Confirmation as DOJ Antitrust Chief
Feb 11, 2025 by
CPI
Former Michigan Asphalt Executive Pleads Guilty in Bid-Rigging Scheme
Feb 11, 2025 by
CPI
Ballard Spahr Expands Litigation Team with Addition of Antitrust Attorney in Seattle
Feb 11, 2025 by
CPI
Portuguese Court Overturns €225 Million Fine for Banking Collusion Due to Statute of Limitations
Feb 11, 2025 by
CPI
Antitrust Mix by CPI
Antitrust Chronicle® – International Criminal Enforcement
Jan 23, 2025 by
CPI
The Antitrust Division’s Recent Work to Combat International Cartels
Jan 23, 2025 by
Emma Burnham & Benjamin Christenson
Information Sharing: The New Frontier of U.S. Antitrust Enforcement
Jan 23, 2025 by
Brian P. Quinn, Casey Kovarik & Michael Tubach
The Key Role of Guidelines on Exchanges of Information Among Competitors and the Divergent Transatlantic Paths
Jan 23, 2025 by
Rosa Abrantes-Metz & Albert Metz
Leniency, Whistleblowers, and Compliance
Jan 23, 2025 by
Richard Powers, Tara O’Malley & Cory Gordon