Orange Group has reportedly put its 70% stake in Telkom Kenya up for sale, with a deal anticipated as early as June this year. According to the Daily Nation, the French company has formally notified the government that it is in the middle of negotiations with potential buyers, following a month-long ‘strategic review’ of the ailing full-service telco.
As previously reported by TeleGeography’s CommsUpdate, last month Orange hired asset management firm Lazard to evaluate the company’s options for Telkom Kenya and Orange Uganda. Further, reports subsequently emerged suggesting that Vietnam’s military-backed Viettel Group dispatched representatives to Kenya in October 2013 to carry out due diligence on Telkom. TeleGeography notes that African expansion remains one of Viettel’s key aims, increasing the likelihood of a deal. The company is currently active in Mozambique and holds additional licences in Cameroon, Burundi and Burkina Faso, with a licence application also pending in Tanzania.