×
  • Business - World
  • Updated: 1 year ago

Airtel Kenya, Telkom Kenya Merger Talk Fail, As Both Companies Pull Out

Airtel Kenya, Telkom Kenya Merger Talk Fail, As Both Compani

The much awaited merger between Airtel Kenya and Telkom Kenya Limited has failed to materialize following withdrawal from the merger talsk by both telecommunications companies. AllNews gathered that Airtel Kenya and Telkom Kenya Limited are no longer interested in concluding the deal.

The companies had taken the first step towards the merger February last year after agreeing to consolidate their services in the East African country by integrating telecommunications platform with mobile, enterprise, and wholesale divisions. The deal would have made the companies a major force in the country dominated by Safaricom.

[READ ALSO: How Exciting Future Triggered Unilever's Planned Separation From Its Tea Business]

But since February last year, the merger had been subject to regulatory approval and "satisfaction of various conditions" which were not made known. The deal has now failed as both companies "have decided to no longer pursue completion of the Transaction."

In an Airtel statement obtained by AllNews, the lengthy process to complete the merger made Airtel Kenya and Telkom Kenya Limited to rethink their plan, even though they had endeavoured "to reach a successful closure", it was learnt.

Speaking on Airtel Kenya's commitment to continue operations despite the failed merger, Airtel Africa Chief Executive Officer and Managing Director, Raghunath Mandava, "Kenya is a large and growing market and we remain committed to build a growing profitable business.

[READ ALSO: Bristow Helicopters Sack 100 Pilots, Engineers To Avoid Collapse]

"We currently serve more than 14 million Kenyan customers, a number that is growing month on month, and in the last quarter our revenue numbers were up double digit in constant currency in Kenya.

"Our strategy to focus on winning more customers, invest in a best in class voice and data network and progressively expand our mobile money business, will continue to build on these results in order to deliver against the opportunities the Kenyan market has to offer”.

Tags

Join our Telegram platform to get news update Join Now

0 Comment(s)