Telkom Kenya has announced transfer of business assets to Airtel Kenya, signifying a close of deal in the merger announced this year.
In a gazette notice Telkom revealed that it is transferring all its assets to Airtel Kenya, but would still be a shareholder.
“Telkom Kenya Limited proposes to transfer its mobile operations, enterprise and carrier business carried on at Telkom Plaza (Nairobi) and elsewhere in the Republic of Kenya including all assets, other than identified excluded assets, to Airtel Networks Kenya Limited,” read the notice in part.
“The proposed transferee (Airtel) is not assuming nor does it intend to assume all the liabilities incurred in the transfer business by the proposed transferor (Telkom)”.
After completion of the proposed completion, Airtel will be renamed to reflect the joint venture. The proposed name will be Airtel-Telkom.
The final details of the shareholding has not been announced but the company will have a new leadership with the current Telkom Kenya CEO holding Chairman position while Airtel Networks Kenya Chief Executive, Mr. Prasanta Sarma, will be appointed Chief Executive Officer.
The regulators, Competition and Communication Authorities, would have to approve the deal.
Helios Investment owns 60 per cent of Telkom Kenya Limited while the Kenyan government owns the remaining 40 per cent.