Vodafone announced that it would sell M-Pesa Holding Company Limited, the company that manages all M-Pesa deposits, to Safaricom for $1.
Per its statement, the transaction began on April 17, 2023, and should be completed by July 2023.
While Vodafone is yet to reveal why it’s selling the trust to Safaricom, many believe that the move will boost Safaricom’s activities.
With three consecutive quarters of financial decline Safaricom could use a cash flow-generating asset like MPHCL.
The holding company, per Vodafone, presently has €1.2 billion in customer funds which Safaricom could invest in short-term securities.