This archive report was first published on 4 September 2019.
Published on September 4, 2019, Safaricom has expressed concerns over a planned merger between Airtel and Telkom Kenya, citing a Ksh.1.3 billion debt and unequal frequency allocation.
Safaricom Chief Executive Officer Michael Joseph stated that the company is not opposed to the merger but has raised three concerns, including the debt owed by Airtel and Telkom Kenya.
The debt, amounting to KES 1,297,448,468.88, was incurred for the provision of various services including interconnection, co-location, and fibre services.
Safaricom is also seeking to have the Communications Authority rebalance frequencies shared between the three companies, citing a disproportionate imbalance in the spectrum allocation.
According to Safaricom, if Airtel and Telkom Kenya are allowed to merge without reorganization of frequencies, the transaction will create an imbalance in the spectrum allocation, which will be inconsistent with the market share.
Additionally, Safaricom is calling for equal treatment of operators and creation of a level playing field within the industry, specifically in relation to licensing and operations requirements.
These remarks come on the back of claims by Telkom Kenya that Safaricom is opposed and intends to sabotage the proposed merger with Airtel Kenya.
