Vodacom Takes Control of Safaricom in $2.4 Billion Deal (1)

Vodacom Group Ltd., South Africa’s biggest mobile operator, agreed to take control of East Africa’s largest telecommunications provider Safaricom Plc in a deal valued at about $2.4 billion. Safaricom’s stock surged.

Vodacom agreed to buy 15% of Safaricom from the Kenyan government, along with an effective 5% stake in the company from Vodafone International Holdings BV, for $2.1 billion, according to a stock-exchange filing on Thursday. It will also pay an additional 5.3 billion rand ($310 million) upfront for the right to receive future Safaricom dividends that would have gone to the Kenyan government.

The plan to increase its ...