Kenyan Government stake in Telkom set to drop to 30%

The Kenyan government’s shareholding in Telkom Kenya (Orange) is set to drop permanently to 30% following a decision by the National Treasury not to allocate any money to the ailing firm, which is jointly owned by the government and the Orange Group (formerly France Telecom-Orange). The Treasury’s stake in Telkom Kenya dropped to 30% in December after the government only paid up KES2.5 billion (USD28.7 million) of the KES4.9 billion it was expected to inject into the firm to retain its shareholding. Business Daily Africa quotes Orange Group press officer Tom Wright who commented: ‘The government of Kenya is yet to wire the money. However, the 30 June deadline is not yet over. If it pays [up] then their stake will rise to 40%, but if they do not the status quo will remain’. Pictured Telkom CEO Mickael Ghossein