The Lower Eastern Times Opening The Third Eye
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Safaricom is set for significant governance changes following the increase of Vodacom’s shareholding to 55 percent, with shareholders expected to vote on the proposed amendments during the company’s Annual General Meeting (AGM) on July 31, 2026.
Among the proposed changes is a new process for appointing the Chief Executive Officer (CEO), where the Board of Directors will select the next CEO from a list of nominees presented by Vodacom.
The proposals also outline a revised board composition, with the Government of Kenya retaining the right to appoint two directors, while Vodacom will appoint one director for every 10 percent stake it holds in the company.
If approved, major changes to the Safaricom brand will require prior government approval. The same approval will also be necessary before the company expands its operations beyond its current markets in Kenya and Ethiopia.
The governance reforms further introduce new mechanisms for resolving board deadlocks and require Safaricom to maintain a board comprising at least seven directors. A majority of the independent directors must be Kenyan citizens.
In addition, the proposals encourage the company to maintain a predominantly Kenyan senior management team, reinforcing local leadership within the organization.
Another proposed amendment provides that the Chief Financial Officer (CFO) will serve as the CEO’s alternate director whenever the CEO is unavailable.
The proposed changes will be tabled before shareholders for approval at Safaricom’s AGM scheduled for July 31, 2026. If passed, the reforms will shape the company’s governance structure following Vodacom’s increased ownership stake.
