Safaricom urges court not to halt sale of gov't shares

Through its lawyers, the telecommunications firm told the court that stopping the process at this stage would distort the market and negatively affect investor confidence. 

It maintained that the matter before the court is largely a commercial dispute already undergoing scrutiny by the relevant regulatory bodies.

The company further argued that Parliament should be allowed to carry out its constitutional mandate, noting that the process is still subject to approval by the National Assembly, which is currently on recess. 

Safaricom added that public participation had already been conducted and assured the court that the proposed transaction would not result in job losses.

Lawyer Andrew Musangi submitted that the process involves multiple regulatory approvals beyond Parliament, dismissing claims that the transaction poses risks to data security. 

He told the court that the prospective investors are legitimate stakeholders and not “guests,” adding that no evidence had been presented to demonstrate any threat.

“How do they suddenly come under threat now? You have not been told where the threats are from,” Musangi argued.

Safaricom also rejected claims that the sale would undermine its local identity, insisting that it remains a Kenyan company. 

Its lawyers cautioned the court against issuing orders that could effectively determine the dispute prematurely, urging that the petitioners be allowed to fully prove their case during the hearing.

They further contended that no sufficient grounds had been established to justify the issuance of conservatory orders, describing the application as an attempt to “hook” the court into stopping the transaction without evidence.

The Attorney General similarly opposed the application, stating that no sale has commenced and that the process remains at a preliminary stage.

On the other hand, petitioners through SC Kalonzo Musyoka and lawyer Lempaa Suyiaka challenging the sale have asked the court to preserve the status quo, warning that proceeding with the transaction could render their case nugatory and lead to the loss of what they describe as sovereign assets.

"We are asking for the court to give out conservatory orders to stop the government from selling the safaricom sell shares," they submitted.