South Africa sells Vodacom stake to fund Eskom in $1.9B deal

South Africa‘s government has sold its 13.91% stake in mobile phone firm Vodacom to the Public Investment Corporation to raise 23 billion rand ($1.9 billion) in funding for power utility Eskom, the Treasury said on Wednesday.

“The sale of the Vodacom stake was the most viable option for ensuring that government was able to swiftly realise the proceeds and inject equity into Eskom to bolster the utility,” it said in a statement.

The Treasury did not say how much the deal was worth but at Tuesday’s closing price of 138.70 rand it would have raised around 28.5 billion rand. A Treasury official declined to comment.

Read more: SA govt sells Vodacom stake to fund Eskom – ITWeb Africa