Headache For Ruto's Govt as Ndindi Nyoro Slams Safaricom Stake Sale That Risks Losing Billions

Kiharu MP Ndindi Nyoro has sharply criticized the Kenyan government's proposed sale of its 15% stake in Safaricom warning that the transaction could short-change taxpayers by billions of shillings. Presenting a memorandum today before the joint parliamentary committee on Finance & National Planning and Public Debt & Privatisation, Nyoro urged lawmakers to reject the current buyer-driven arrangement in favor of an open, competitive process involving international bidders.

The government plans to divest approximately 6 billion shares—reducing its holding from 35% to 20% to South Africa's Vodacom group at Ksh 34 per share, generating around Ksh 204 billion plus additional inflows from dividend monetization, for a total estimated at Ksh 244-245 billion.

Nyoro argued the valuation is grossly undervalued. He pointed out that Safaricom was valued at Ksh 1.8 trillion in 2021 before its Ethiopia expansion, implying a higher worth today. Recent block trades, such as Diageo selling to Asahi at a premium far above market prices, demonstrate that non-competitive deals often undervalue assets.

He also highlighted tactics like the immobilization of 16 billion shares in June 2025, which he claimed depressed the share price artificially, and concessions from regulators—including license renewal discounts—that could cost Kenya over Ksh 80-100 billion in lost value

 "Kenya must open up the transaction to international strategic bidders to secure optimal value for our prized asset," Nyoro stated. "We cannot afford to lose over Ksh 80 billion on conditions precedent or sell our most valuable public holding for a song."

The outspoken MP commended the committee for the discussions but stressed that Kenya still has time to avert significant fiscal losses. As public scrutiny intensifies, the debate underscores broader concerns over transparency, national interest, and maximizing returns from state assets in one of Africa's most valuable telecom firms.