The Agha Khan Fund for Economic Development (AKFED) is seeking to fully own fibre optic undersea cable firm Seacom.
According to an inquiry notice from the Comesa Competition Commission, AKFED has made a bid to acquire all the shares in the Ksh 65 billion fibre cable through its subsidiaries, industrial promotion services (IPS) and Jubilee Holdings.
“The parties have submitted that the proposed transaction involves the acquisition of 100% shareholding in the target by IPS, resulting in IPS indirectly owning 25% voting rights and 10% economic rights in Seacom Capital Ltd (Mauritius),” read a statement from Comesa competition Commission.
AKFED already owns a major stake in the firm through Industrial Promotion Services (IPS), which is the industrial arm of the AKFED. This transaction would confer more authority and ownership on its subsidiaries.
Seacom’s infrastructure connects South Africa, Mozambique, Madagascar, Kenya, and Tanzania to other international broadband cables, and accounts for 24% of Kenya’s total undersea bandwidth capacity.