Vodafone transferred over half of its shareholding in its Egypt business to Vodacom, its African subsidiary, as it simplifies the core business.
Under the agreement, the telecoms giant has been issued with 242 million shares in Vodacom and received cash proceeds of €577m in exchange for its 55 per cent shareholding in Vodafone Egypt.
Acting Vodafone chief Margherita Della Valle said the move was about “simplifying Vodafone Group’s structure and supporting Vodacom and Vodafone Egypt for future growth.”
Della Valle recently replaced ousted Nick Read after his four years at the top spot.
Although Read steered the FTSE 100 firm through the pandemic, narrowing the company’s focus on Europe and Africa, and cutting costs, the company has grappled with a dwindling share price.
Shares have fallen more than 60 per cent over the past five years, and plunged by about a fifth this year alone compared with a two per cent gain in the FTSE 100.