Michael Joseph appointed chairman of Safaricom. PHOTO /WANGECHI WAHOME


By Wangechi Wahome

Safaricom board appointed Michael Joseph as

the next Chairman of Safaricom’s Board of

Directors following the retirement of current

chairman Mr. Nicholas Nganga after serving for

16 years on the Board of which 13 he served as

the chairman.

Michael has been serving as non-executive

board member since 2008.

Michael Joseph, “It is an honor to serve as the

next Chairman of a company that I am

passionate about and have been involved with

ever since its inception. It is with humility that I

take over from Mr. Nganga, whose leadership,

wisdom and guidance has led Safaricom to

where it is in the 13 years, he has been the

Chairman of the Board. As I take up the new

role, I am optimistic of the great opportunities

ahead to work with the Board, Peter and the

entire Safaricom team to continue to transform


Mr. Nganga took up the leadership reins at a

time when the government was offering 25% of

its shares to the public through the Nairobi

Securities Exchange in 2008. He has managed

to grow shareholder value by 607% of share

total shareholder returns since listing.

Safaricom market capitalization at KES 1.075

trillion is worth 50% of all the listed firms on the


At the time of his appointment as Chairman,

Safaricom had slightly over 6 million

customers, 1,000 employees and only 8

Safaricom shops across the country. Mr.

Nganga retires from the telco that now serves

over 35.6 million customers, across 50 shops

and hundreds of service desks across the

country, with a staff force of over 6,500


He led the board in overseeing the rapid

network development in the country, having

started with 3G upgrading on his appointment

at a cost of KES 1B in 2007. In his last financial

year as chairman, Safaricom announced

investment of KES 36B to expand its network

coverage. Safaricom 4G coverage covers more

than 77% of the population while 3G coverage is

at 94% of the population.

“I am happy that I handover the leadership

baton to Michael whose skills and energy I have

had the chance to see and appreciate over the

years. I am grateful for the opportunity to serve,

not just the board but also the shareholders and

the company. Throughout the years, I am proud

of the numerous moments that I have been

involved in, steering and guiding this great

organization to the enviable position it is today,”

said, Mr. Nganga.

During the 12th Annual General Meeting which

was held virtually, the shareholders approved

the dividend payout of KES 1.40 per share, up

from KES 1.25 paid in 2019, for the Financial

Year Ending March 31, 2020. The disbursement,

which is equivalent to 80 percent of its

normalized earnings, is a 12% increase from

last year.

A total of KES56.09 billion will be paid out to

shareholders with the Government of Kenya

expected to receive KES19.63 billion. In 2019,

the company issued a special dividend of

KES0.62per share bringing the total dividend

issued to shareholders of KES 1.87, amounting

to KES74.92 billion.

“As a purpose-driven business, Safaricom has

been prioritizing support to Small and Medium-

Sized Enterprises. We hope that the dividends

they receive as shareholders will give the much-

needed boost for their businesses during this

difficult COVID-19 pandemic period even as we

come up with ways to ensure we support them

post COVID-19,” 00 touch points for our

customers and offering over 100 different

products under our portfolio.

Listed on the Nairobi Securities Exchange and

with annual revenues in excess of KES 200

Billion, Safaricom invested KES 36 billion in

infrastructure this year, providing over 94% of

Kenya’s population with 3G coverage.

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