The partial privatisation of Unitel could be affected by court rulings in favour of former shareholders Vidatel Limited and Geni, S.A., the operator itself acknowledged in the prospectus for the Public Offering for Sale (POS) of 15% of its share capital. In the most extreme scenario, the ongoing legal proceedings could lead to the reversal of the nationalisation of the stakes and call into question the validity of the share sale.
According to the document made available to investors, a final court decision in favour of Vidatel and Geni could, “ultimately”, result in the annulment of the effects of the presidential decrees that transferred to the State the stakes previously held by the two companies in Angola’s largest telecommunications operator.
Unitel acknowledges that such a scenario could affect not only the nationalisation process but also subsequent administrative acts, including the presidential order authorising the privatisation, the Public Offering for Sale itself, and the transactions carried out involving the shares placed on the market.
Vidatel and Geni are legally challenging Presidential Decrees No. 256/22 and No. 257/22, both dated 28 October 2022, which ordered the nationalisation of their stakes in Unitel. Although these proceedings do not have a suspensive effect and do not prevent the POS from moving forward, the operator included the disputes among the risk factors presented to potential investors.
Despite the possibility of reversal, the prospectus states that the State has legal mechanisms available to try to prevent such an outcome. If a court ruling is considered harmful to the public interest, the authorities may request that the court not enforce the decision, arguing that its implementation would be impossible or that it could cause significant damage.
In this scenario, instead of returning the nationalised stakes, compensation could be proposed to the former shareholders.
The disclosure of this risk in the prospectus comes as the sale of 15% of Unitel’s share capital is underway, an operation that has placed 7.5 million ordinary shares on the market. Each share has an indicative price range between 36,000 and 40,000 kwanzas, with the transaction potentially reaching a maximum value of 300 billion kwanzas.
Even after the sale is completed, the State will continue to control the majority of the company’s share capital through stakes held by IGAPE, PT Ventures and MSTelcom, maintaining influence over the operator’s main strategic decisions.
07/08/2026
