A petition has been filed seeking to halt the proposed sale of the government’s 15 per cent stake in Safaricom to Vodacom Group, a transaction valued at about Sh204.3 billion, citing concerns over transparency, valuation, and public interest.
The petition was lodged by Tony Gachoka and Fredrick Ogola, who have named the government and several State agencies and private entities involved in the transaction as respondents.
The listed respondents include the Cabinet Secretaries for the National Treasury and ICT, the Communications Authority of Kenya, the Competition Authority of Kenya, the Attorney General, Safaricom PLC, and Vodacom Group.
According to the petitioners, the National Treasury has indicated its intention to sell the government’s shares to Vodacom at Sh34 per share, a figure the petition describes as “grossly undervalued, poorly negotiated, opaque and injurious to the public interest” when compared to prevailing and intrinsic market valuations.
They note that the proposed price is lower than estimates of the shares’ intrinsic value, which range between Sh70 and Sh80 per share, suggesting a potential shortfall in value for the country.
“The intended sale has been undertaken without meaningful public participation, contrary to the Constitution,” the petition states, noting that the process appears “rushed, opaque, non-competitive and procedurally dubious, thereby affecting the Kenyan public.”
The petition further raises concerns over the alleged absence of competitive pricing and transparency in the proposed sale.
It highlights that there has been no indication of multiple bidders, full disclosure of transaction advisers, or clarity on the valuation methodologies used to determine the Sh34-per-share figure.
The petitioners indicate that the transaction may be at odds with provisions of the Public Procurement and Asset Disposal Act, 2015, and the Privatisation Act, 2025, which require transparency, competitiveness, and parliamentary oversight for the disposal of strategic public assets.
Among the orders requested, the petitioners seek conservatory orders restraining the State from executing or implementing any transaction related to the government’s 15 per cent shareholding in Safaricom, pending the court’s hearing and determination of the case.
They also request orders preventing the respondents from proceeding with the sale, and compelling disclosure of all valuation reports relied upon in setting the Sh34 share price, along with a list of transaction advisers, valuers, legal advisers, and approvals issued in connection with the deal.
Additionally, the petitioners seek a declaration that no disposal of Safaricom shares should occur without prior parliamentary approval, in line with procurement and privatisation laws, and that the status quo be preserved until the court reaches a decision.
The government has previously stated that the proposed transaction is part of a broader strategy to raise capital, deepen strategic partnerships, and optimise the State’s portfolio in commercial entities.
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