Etisalat Group (e&) has acquired a 9.8% stake in Vodafone for around $4.4 billion (€4.23 billion).
In a statement, e& said it made the investment in Vodafone “to gain significant exposure to a world leader in connectivity and digital services. Vodafone is one of the strongest and most globally recognised brands across the telecom industry. It is a pioneer of digital transformation, offering some of the most advanced technology and next-generation solutions, including IoT, Telematics, B2B solutions and FinTech services, within the telecom industry and for the benefit of the wider society”.
It went on to say that it is fully supporting of Vodafone’s board and existing management team and business strategy announced in November 2021. Furthermore, it is not seeking board representation or to exert control or influence the company’s board or management team. In addition, it has no intention to make an offer for Vodafone.
Commenting on the acquisition, Hatem Dowidar, Group CEO of e&, said: “Vodafone is one of the leading businesses at the heart of digital communications in Europe and Africa with a compelling business offering critical connectivity and digital services.
“Our investment represents a unique opportunity to acquire a significant stake in one of the leading and strongest global telecom brands, and a company that we know well. We are looking forward to building a mutually beneficial strategic partnership with Vodafone with the goal of driving value creation for both our businesses, exploring opportunities in the rapidly developing global telecom market and supporting the adoption of next-generation technologies.
“We see this investment as a good opportunity for e& and its shareholders as it will allow us to enhance and develop our international portfolio, in line with our strategic ambition”.
