e& Sells Vodafone Stake For $5.95 Billion Without Naming Cash Use
e& agreed to sell its full 16.21 per cent Vodafone stake to Vega for $5.95 billion, ending its board-level investment in the British telecoms group. The UAE company expects roughly Dh4.7 billion in net cash return, while interim shareholding institutions and a specific use of proceeds remain outside the public record.
e& is exiting Vodafone with a $5.95 billion stake sale that turns a three-year board-level investment into cash and leaves its European telecoms exposure without a disclosed successor deal.
The UAE telecoms and technology company signed a binding agreement to sell its full 16.21 per cent Vodafone Group holding to Vega, an acquisition vehicle wholly owned by the Niel family group.
The transaction includes around 3.94 billion Vodafone shares and is expected to deliver roughly Dh4.7 billion in net cash return to e&.
16.21 Per Cent Vodafone Stake Goes To Vega
The divestment follows a strategic review of the international investment portfolio.
The company also terminated its relationship agreement with Vodafone, and its board representative stepped down as a non-executive director of the British telecoms group.
The investment began in May 2022, when e& acquired a 9.8 per cent stake for $4.4 billion, according to The National.
The holding later rose to 11 per cent in December 2022, 12 per cent in January 2023, 14 per cent the following month and more than 16 per cent before the exit.
The transaction is not being presented as a full retreat from telecoms partnerships.
The disclosed deal removes the equity position and ends the formal governance link, while the UAE group said it would explore future opportunities with Vodafone to collaborate in ways that create mutual value.
Sale Price Carries A 13 Per Cent Premium
The agreed price is 13 per cent above Vodafone's market price, with a final 2026 dividend due later in July included in the transaction.
At completion of the transfer to financial institutions, proceeds are expected to reach about Dh21.8 billion, or $5.95 billion, including dividends.
Part of the process remains outside the public record for now.
The shares will be sold simultaneously through off-market block trades to three financial institutions, which will hold them until Vega completes regulatory requirements.
Completion remains subject to customary closing conditions and is expected in the near future.
A precise closing date and the financial institutions handling the interim shareholding have not been made public.
Careem Sale Adds To The Capital Refocus
The Vodafone divestment follows another portfolio move by the Abu Dhabi-listed group.
In June, e& completed a $100 million sale to Uber covering 12.5 per cent of its Careem Technologies holding, again citing a stronger focus on core businesses and disciplined capital allocation priorities.
The company described the Vodafone exit as a way to sharpen its strategic focus on core businesses.
It disclosed the sale price, premium and buyer structure, while the specific use of the expected net cash return remains outside the public record.
First-Quarter Profit Fell After Khazna Gain Comparison
In the first quarter of 2026, the ADX-listed company put revenue at Dh19.4 billion, up about 15 per cent from a year earlier.
Net profit attributable to shareholders dropped by more than 46 per cent to Dh2.88 billion, mainly because the prior-year period included a gain from the sale of Khazna.
Excluding the Khazna comparison, net income rose by 3.9 per cent.
The Vodafone exit remains dependent on regulatory requirements and closing conditions, with the three interim financial institutions, exact closing date, specific approvals and named use of proceeds still unresolved.
