Vodacom makes a strong start
The group’s shares began trading at R59.50 and by 9:41 were up at R64.95.
On Sunday, the High Court in Pretoria dismissed the joint application by the Congress of SA Trade Unions and the Independent Communications Authority of SA (Icasa) for an order interdicting Vodacom from listing.
This followed Icasa’s announcement on Friday that telecoms group Telkom SA needed its approval to dispose of its Vodacom shares to the UK’s Vodafone.
The deal involved ending the joint shareholding in Vodacom by Telkom and Vodafone.
The R22.5bn transaction allowed Vodafone to take an additional stake of 15% in Vodacom, with the remainder of the stake being unbundled to Telkom shareholders and Vodacom listing on the JSE.
Had the listing been stalled, South Africa’s credentials as an investor-friendly country would have been tarnished and the rand would have been slammed as Vodafone had already brought R20.5bn into South Africa to purchase 15% of Vodacom from Telkom.
Vodacom share price discussion
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