This archive report was first published on 3 September 2019.
On August 30, Safaricom informed the media that it had written to the Communications Authority, expressing concerns about the proposed merger between Telkom and Airtel Kenya. This move has been blamed for the delay in the merger talks.
Telkom Kenya Chief Executive Officer (CEO) Mugo Kibati has stated that the company has no quarrel with Safaricom, but is simply trying to restructure and improve its business for the good of the industry.
According to Kibati, the delay in the merger talks is depriving commercial benefits to consumers and investments in the country, as well as pushing for monopolistic competition and leaving 575 laid-off employees in limbo.
The merger between Telkom and Airtel Kenya is seen as an attempt to challenge Safaricom's dominance in the market. Safaricom currently holds around 54.2% of the market share, with Airtel boasting approximately 22.3% and Telkom at a distant third with 9%.
Published on September 3, 2019, by Business Today.
