Vodafone Group announced that its wholly owned subsidiary Vodafone International plans to sell 90 million shares, or a 5.2 percent stake, in Vodacom Group at ZAR 165 per ordinary share, through an accelerated bookbuilding process, to ensure that Vodacom can meet requirements for its listing in South Africa.
Vodafone said the sale will raise gross proceeds of ZAR 14.85 billion (approximately EUR 962 million). Upon completion of the placement, Vodafone will indirectly own 1.11 billion ordinary shares in Vodacom, or about 64.5 percent of Vodacom's ordinary share capital. Vodafone recently increased its holding in Vodacom to 69.7 percent from 65 percent.
In connection with the placement, Vodafone has agreed not to sell, distribute or otherwise dispose of any ordinary shares in Vodacom that are not sold in the placement for a period of 90 days afterwards, subject to consent by the joint bookrunners. Settlement and delivery of the placement shares is expected to occur on the Johannesburg Stock Exchange on 11 September.
