Parliament has invited Kenyans to submit memoranda on the Government’s proposed partial divestiture of a 15 per cent stake in Safaricom, with submissions due by January 8, 2026.
The National Assembly says the sale aims to mobilise resources for critical infrastructure, secure upfront payments, reduce reliance on debt and reinforce transparency, oversight and public participation as required by law.
According to the notice released on Monday, the invitation is grounded in Article 118(1)(b) of the Constitution, which requires Parliament to facilitate public participation and involvement in the legislative and other business of Parliament.
The Sessional Paper has already been submitted by the Cabinet Secretary for the National Treasury and referred to the Departmental Committee on Finance and National Planning and the Public Debt and Privatization Committee for scrutiny.
The document outlines the Government’s intention to divest 6,009,814,200 shares, equivalent to 15 per cent of Safaricom PLC, while retaining 8,012,758,380 shares, equivalent to 20 percent.
Parliament notes that Safaricom remains one of the country’s most actively traded counters, with its volume weighted average price over the six months ending up to December 2, 2025, standing at approximately Sh27.50 per share, giving the company a market value of approximately Sh1.158 trillion.
The proposed transaction seeks to facilitate major national development goals. The Sessional Paper states that the divestiture aims to generate approximately Sh204.3 billion or Sh225 billion based on a share price of Sh34, a figure that represents a premium of 17 percent on the 6-month volume weighted average price.
This pricing strategy is intended to ensure the Government realises optimal value from its investment.
In addition, the Treasury seeks to secure an additional upfront payment of Sh40.2bn (approximately USD 309 million) by Vodacom Group to compensate for dividends the Government would forego on its remaining 20 per cent stake.
The notice explains that the mobilized revenue will help Kenya deliver priority infrastructure development in critical sectors, including Energy, Roads, Aerospace, Water and Digital transformation, reduce reliance on debt and expand fiscal space for development priorities.
Parliament also highlights the governance and regulatory benefits expected from restructuring the State’s involvement.
The Sessional Paper states that the divestiture will elevate the role of Government to one of policy and regulation while preventing conflicts of interest at an operational level.
At the same time, national interests would be protected as the Government retains a strategic 20 per cent stake and 2 seats on the board to ensure continuity and safeguard the country’s digital heritage and innovation leadership.
The selected buyer, Vodacom Group, which already holds around 40 per cent of the company, is cited for its deep regional experience and a proven track record in capital investment, digital infrastructure, innovation, and financial inclusion.
The Sessional Paper also records Vodacom’s commitments, including that no redundancies shall arise from the acquisition within 3 years of the transaction, and that the Chairman and independent directors of Safaricom PLC shall remain Kenyans.
Vodacom also pledges continued support for the Safaricom Foundation.
The proposed sale is further positioned as a catalyst for strengthening capital markets and promoting Kenya’s shift toward a more market-driven economy.
The plan’s objectives include helping deepen Kenya's capital markets, enhance economic efficiency and promote Kenya's transition to a market economy, while also working to mitigate the risk to the Government of future dilution of its remaining shares.
The Clerk of the National Assembly emphasized compliance with constitutional requirements and invited stakeholders, including shareholders, management, employees, customers, regulators and interested parties, to submit memoranda either by post, by hand delivery to Parliament Buildings, or by email to the National Assembly before Thursday, January 8, 2026 at 5.00 p.m.
