Safaricom share sale: MPs question Ksh34 valuation, call for more public involvement
By Kiprono Keileb, January 16, 2026Parliament held its fourth day of stakeholder engagements on the government’s proposed partial divestiture of Safaricom PLC, with discussions focusing on valuation, public participation, and national security implications.
In a session conducted by the Joint Committee on Finance and Planning and the Select Committee on Debt and Privatisation, the Kenya Association of Stockbrokers and Investment Banks (KASIB) and the Fund Managers Association (FMA) on Friday, January 16, 2026, made submissions in support of the sale.
KASIB emphasised that the move is strategically sound for raising funds for infrastructure development and debt reduction.
“During the session being chaired by Kitui Rural MP, David Mboni, KASIB has supported the decision to divest, noting it will generate approximately Ksh 244.5 billion for infrastructure and debt reduction,” the association said.
The associations also backed the Ksh34 per share valuation, noting that the 15% premium over market price is standard for strategic block trades.
However, some MPs raised concerns about the valuation and the broader implications of the sale.
“Safaricom is not an ordinary investor in Kenya. İt’s a crucial entity that has a role in our Kenyan democracy. Election results are transmitted through the network. It’s the main security surveillance system for security agencies and holds a lot of our personal and financial data. What factors make you believe that KSh 34 is a fair value for us to approve it?” Homabay Town MP, Peter Kaluma, asked.
Committee members also recommended executing the transaction through the Nairobi Securities Exchange Block Trading Board to ensure transparency, fair pricing, and wider public participation.
The associations proposed increasing total divestiture from 15% to 20%, selling 15% to Vodacom and offering the remaining 5% (worth around KES 68 billion) to the Kenyan public to democratize wealth and boost market liquidity.
KASIB stressed that government safeguards must remain in place to protect national interests.
“To safeguard national interests, the government must retain veto rights on mergers, ensure Safaricom’s headquarters remain in Kenya, and secure a commitment from Vodacom that the company will remain listed on the NSE with no forced buyout of minority shareholders,” KASIB said.