Safaricom, Vodacom plan USD 13 mln purchase of M-Pesa rights

Friday 24 May 2019 09:19 CET | News

Safaricom has announced that it will start a joint venture with Vodacom to acquire the intellectual property rights to M-Pesa mobile financial services platform from Vodafone.

The deal will let both purchasers expand the service to new African markets. Vodacom owns 35% of Safaricom and pays 5% in an intellectual property fee to Vodafone from its M-Pesa business, which is mainly in Tanzania.

The acquisition of the intellectual property rights by the new joint venture will allow the partners to develop local products like Fuliza, an M-Pesa overdraft facility, launched in Kenya in January 2019.

Vodafone holds a 5% stake in Safaricom.

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Keywords: Safaricom, Vodacom, M-Pesa, Africa, mobile payments
Countries: World