Safaricom Shareholders Approve All 20 Resolutions Including Governance Reforms at AGM

Safaricom shareholders approved all 20 resolutions tabled at the company’s Annual General Meeting held on 31 July 2026. The decisions covered financial results, dividend payment, board appointments and significant governance reforms reflected in updated Articles of Association.

Shareholders accepted the audited financial statements for the year ended 31 March 2026. They also approved a total dividend of Sh1.80 per share, covering both the interim and final payouts. Edward Osoro was re-elected as a director, allowing him to continue serving on the Board.

The Board Audit Committee membership was confirmed, reinforcing oversight of financial reporting, risk and internal controls. Ernst & Young was re-appointed as external auditor. Shareholders further approved the Directors’ Remuneration Policy and Report, setting the framework for Board compensation.

A central part of the meeting involved formal updates to the Articles of Association. The revised documents define the roles of the Government of Kenya and Vodafone Kenya Ltd in Safaricom’s governance structure. Vodafone Kenya can appoint one director for every 10 percent stake it holds. Because it owns more than 50 percent of the company, it will also nominate the pool of candidates from which the Board appoints the Chief Executive Officer.

The Government of Kenya retains director appointment rights based on a 10 percent shareholding threshold, protecting its position as a major shareholder. The Chief Financial Officer becomes the CEO’s alternate director and can represent the CEO on the Board when required.

Other changes address operational flexibility and decision-making. Rules for calling Extraordinary General Meetings were updated. Board composition rules were revised. New procedures were introduced to resolve Board deadlocks and to set quorum requirements. The Board can now approve certain decisions electronically or through written resolutions without physical meetings.

Major brand changes and expansion outside Kenya and Ethiopia will require approvals under the new Articles, including Government consent where applicable. The process for appointing the Chief Executive Officer was aligned with the, updated ownership structure. Dividend payments must follow the company’s approved Dividend Policy, and rules on managing statutory reserves were adjusted to comply with that policy.

The package of resolutions strengthens the formal relationship between the two principal shareholders while introducing clearer internal governance mechanisms. Approval of all 20 items indicates broad shareholder support for both the financial outcomes of the past year and the structural changes to the company’s constitutional documents.

Safaricom remains one of Kenya’s largest listed companies by market capitalisation. The governance updates provide a clearer framework for Board composition, executive appointment and strategic decisions as the company continues to operate in a competitive telecommunications and digital services market.