Madagascar’s Axian Telecom has officially entered the Kenyan market after acquiring a 99.63 per cent stake in Wananchi Group, the company behind Zuku broadband and pay-TV services.
The transaction gives the pan-African telecoms and fintech company a new foothold in East Africa’s digital space, adding Kenya to its growing network of operations across the continent.
The deal, finalised after 18 months of negotiations and regulatory reviews, received its final clearance from the COMESA Competition Commission in December 2024.
Though the financial details were not disclosed, the acquisition is supported by a $550 million (Sh71 billion) bond issued by the International Finance Corporation (IFC), which allocated about $75 million (Sh9.6 billion) for the Wananchi purchase.
The IFC confirmed last month that it is part of a consortium of lenders backing Axian’s entry into Kenya’s fixed broadband and television market.
Under the agreement, Wananchi Group will now operate under a newly established Axian subsidiary known as Axian Telecom Fibre. This new entity will oversee all of the company’s fixed connectivity projects across Africa.
The move, according to the firm, aims to strengthen its infrastructure base and accelerate the digital transformation of homes and enterprises in Kenya.
Group CEO Hassan Jaber said the acquisition marks a key milestone in Axian’s expansion strategy.
“This transaction allows us to hit two birds with one stone, entering the fixed broadband business and expanding into Kenya, the most advanced digital economy in Africa,” he said.
Axian Telecom Fibre CEO Bertrand Lacroix added that the firm is planning new investments to expand fibre coverage and improve service delivery before making any decisions on whether Zuku will retain its brand identity.
“It is important is to keep rolling out new fibre coverage, wherever it is needed, so in order to do that, we have very strong people in terms of geomarketing, they know where our connection services will be the most needed,” said Lacroix.
“We are committed to bringing high-speed Internet to millions more Africans. Our strong performance so far, doubling of our fixed broadband base and achieving double-digit revenue.”
Axian operates in Tanzania, Madagascar, Comoros, Senegal and Togo, and the acquisition of Wananchi gives it a stronger presence in East Africa’s competitive broadband market.
The company said Kenya’s advanced digital infrastructure, large consumer base, and growing demand for home and business internet connectivity made it an ideal expansion target.
For Zuku, the new ownership is expected to bring in fresh capital that will enhance network stability, improve customer experience, and expand fibre coverage.
The firm has in the past faced persistent complaints about slow speeds and service interruptions, challenges that Axian says it is ready to tackle as it integrates the brand into its wider operations.
Axian noted that the acquisition bridges a missing component in its portfolio by adding a fixed broadband business to its existing mobile and fintech services.
The firm said this move aligns with its commitment to boosting internet access and driving digital inclusion across Africa’s fast-growing markets.
