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safcom the real story
steve.m
#1 Posted : Monday, June 16, 2008 7:15:00 AM
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Joined: 12/7/2006
Posts: 44
This is part of the safaricom success story the sceptics are not looking at . The fibre optic cable SAFARICOM owns 20% of it. None of our competitors (celtel,econet or even flashcom have a stake in this. So when safcom profits starts to be mind gobling msiseme hamkuambiwa. I bet this investment we made will contribute more than MPESA considering that other eastafrican countries will sooner or later become connected .

Kudos Michael Joseph you make me a proud share holder .


lie is a tragedy to those who feel while to those who think its a comedy
doh
#2 Posted : Monday, June 16, 2008 7:50:00 AM
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Joined: 4/15/2008
Posts: 58
In data business competition,Access has also invested in it. Just for the records.

info is money
steve.m
#3 Posted : Monday, June 16, 2008 8:13:00 AM
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Joined: 12/7/2006
Posts: 44
Safaricom got a bigger stake in it than Access and the rest at 20%. So whatever money comes out of it [ most probably billions ] we still get a bigger chunk of it. When the optic cable starts working this stock [plus Access] will sky rocket . I am thinking of a price of around 50.


lie is a tragedy to those who feel while to those who think its a comedy
jammo
#4 Posted : Monday, June 16, 2008 9:09:00 AM
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Joined: 2/12/2008
Posts: 345
I read the title of this thread n was expecting some real n serious revelation!!... Anyway. What's the earnings per SHARE of safcom ? How much in percentage has it grown over last 3 years? How sustainable is that growth over time? Well.. The fibre optic deal is fine..so is safcom's intended entry into broadband business..but u kno..with all those shareholders demandin growth on investment i WOULD NOT EXPECT any less by safcom!? About access... Concern should not be on competition but how they respond to it. If they cry faul..am so off the counter! If they put on a fight... am riding them out to the end!

'..and it came to pass..' so did we!
This market will probably outlive us. Wacha pupa!!u can't have it all.
jerry
#5 Posted : Monday, June 16, 2008 9:34:00 AM
Rank: Elder


Joined: 9/29/2006
Posts: 2,570
Steve.m,How much do we expect from the undersea cable project (in terms of dvdds i.e.) on yearly basis? Any one with projections?

Ecs 11.2 Give portions to seven,yes to eight,for you do not know what disaster may come upon the land.
The opposite of courage is not cowardice, it's conformity.
mlefu
#6 Posted : Monday, June 16, 2008 9:59:00 AM
Rank: Elder


Joined: 2/11/2007
Posts: 1,680
Location: nairobi
ohhhhh yes..the cable will fika about two years before the other international sea cable arrives,it will hit the market like the way their voice did and thats why am thinking this sameer guys is soo much in to fibre allover the country,he has 10% and doesnt give a f*** about the dead cat..buy safcom.. the few idiots selling...quote a high price..fundahh nyinyi

now its your turn...YES!

keep smiling
semaj
#7 Posted : Monday, June 16, 2008 10:57:00 AM
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Joined: 2/2/2007
Posts: 14
eeh sorry..not really a news flash..All major players in the telecoms biz in kenya have a stake in the teams project. Check the link below

http://www.bdafrica.com/...;id=7264&Itemid=5847
Sober
#8 Posted : Monday, June 16, 2008 12:46:00 PM
Rank: Elder


Joined: 11/27/2007
Posts: 3,604
do nt make us believe that safaricom is the govt or the government is safaicom. thje GOK only owns 35% of safaricom.

here is the breakdown of the ownership of the TEAMs project or the so called under sea optic cable :

Kenyan Government 20%
Etisalat of Dubai 15%
kenya data netwoks owned by sameer 10%
Econet 10%
Celtel 10%
Wananchi Telecom 10%
amii Telecom owns 4%
access kenya 1.25%
nhand 1.25%
Flashcom 1.25%]
Equip 1.25%

France Telecom had bid for a state but not yet confirmed.

fro m this you can see that sameer will bee the greatest beneficiaryn for this


The real measure of wealth is how much you'd be worth if you lost all your money.
African parents don't know how to say sorry.. the closest you will get to a sorry is a 'have you eaten'
gkchege
#9 Posted : Monday, June 16, 2008 1:42:00 PM
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Joined: 9/19/2006
Posts: 17
Where does the truth lie?

Is the 20% TEAM owned by gava au safcom? someone pls clarify.
steve.m
#10 Posted : Monday, June 16, 2008 2:11:00 PM
Rank: Member


Joined: 12/7/2006
Posts: 44
Guys here is the evidence + details .Those who think I am just cooking this up check http://www.kenyaembassy.com/fiberinvestors.html .Watake wasitake we will make money considering celtel doesnt own even half of what we got sharing 10% hahahihihi!!!! Econet only half of what w got. Sober is all wrong look at his figures they add up to 83% obviously your source was wrong or you just cooked up the figures
Private investors sign up for stake in cable project

March 27,2008: The construction of the undersea fibre optic cable that is to connect Kenya to the world of high speed Internet has received a big boost with the signing of an agreement that paves the way for the private sector to contribute to its financing.

The agreement which makes the signatories co-owners of the East African Marine System project with the Government,was signed last week even as the new shareholders forced out two prospective buyers.

The new shareholder agreement leaves Safaricom and the Government of Kenya as the anchor shareholders with a 20 per cent stake each in the project and Wananchi Telecom with 10 per cent. Kenya Data Network and Celtel jointly acquired a 10 per cent stake in the company while France Telecom and Econet Kenya have a 10 per cent share each.

Jamii Telkom got four per cent although it had initially expressed interest in buying 3.75 per cent.

Two firms,Gilat Satcom and Internet Research,a Ghanaian company,were knocked out of the ownership agreement for failing to meet the 20 per cent local representation requirement. Each had expressed an interest in acquiring a 1.25 per cent stake.

The identity of two local companies that had expressed interest in the project remains unknown. The companies are,however,said to be associated with Brian Longwe,a Kenyan IT sector businessman.

The signing of the shareholder pact,also known as an Escrow agreement comes after the Government signed an initial shareholder agreement with Etisalat of United Arab Emirates.

The Government paid 12 per cent of its total 85 per cent ownership in the cable. Etisalat also made a down payment of $1.2 million to cover 12 per cent of its total 15 per cent ownership of the cable.

These two payments gave Alcatel-Lucent,the company that won the tender to build the cable from Fujairah to the port of Mombasa .

Manufacturing the cables was to begin on March 15,this year,but started three days later. Information ministry Permanent secretary,Bitange Ndemo,said Alcatel-Lucent has appointed a team to oversee construction.

The timeline for the TEAMs project indicates that it should be ready by the second quarter of next year.

Other than TEAMs,two other fibre optic cables,SEACOM and EASSy are competing to connect East Africa to the global network of highspeed internet.

EASSy concluded financial closure in the last week of February having raised $248 million that enabled it to make a down payment to the contractor Alcatel-Lucent. According to the EASSy secretariat,the first phase of construction kicked off on March 14,this year and is expected to be ready in the first half of 2010.

The EASSy cable will run 10,500 kilometres from South Africa,through Mozambique,Madagascar,Comoros,Mayotte,Tanzania,Kenya,Somalia,Djibouti and Sudan.
Thirteen land locked countries will also be linked to the system through terrestrial backbone networks.

This includes,Bostwana,Burundi,Central Africa Republic,the Democratic Republic of Congo,Chad,Ethiopia,Lesotho,Malawi,Rwanda Swaziland,Uganda,Zambia and Zimbabwe.

Jamii Telecom Limited,a subsidiary of the AdGroup of Companies’ investment in TEAMS project is meant to complement its Metro Fiber Network whose construction began last year.

Technology company AccessKenya has a 1.25 per cent stake in the project and aims at increasing its bandwidth capacity 10 times. Access Kenya is yet to disclose the amount of money it plans to pump into the project.

So far Jamii has spent more than Sh500 million on the Nairobi Metro Fibre –– targeting a market that is currently dominated by Telkom Kenya and Kenya Data Networks (KDN) ––and plans to spend additional Sh700 million in the network.



By buying into TEAMS,Jamii and Access Kenya hope to provide terrestrial connectivity that will ultimately hook consumers to the global network of high speed Internet.

John Kamau,the general manager at Jamii said the firm hoped to leverage on the National Fiber Optic backbone to enhance international connectivity.

Kenya’s information communication technology (ICT) sector is expected to grow tremendously once the fibre optic cables are up and running.

The cables will stop reliance on the more expensive satellite technologies,bringing down costs and attracting new players especially in the Business Process Outsourcing,call centres,segment.

Mr Kamau says that the Jamii’s Metro Fiber network,is able to support High Definition Video,Voice and Data is ideal for Telco’s,businesses with branch networks like banks,BPOs,disaster recovery sites,SMEs,ISP’s,Media Houses and residential users among others.

lie is a tragedy to those who feel while to those who think its a comedy
ecstacy
#11 Posted : Monday, June 16, 2008 2:17:00 PM
Rank: Elder


Joined: 2/26/2008
Posts: 4,449
to all those who keep asking what the future for this company holds..process this +ves and -ves that keep being thrown your way. there goes one huge +ve.

There is no path to peace. Peace is the path.
yekeyeke
#12 Posted : Monday, June 16, 2008 3:48:00 PM
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Joined: 6/4/2008
Posts: 345
Guys. the info below is incomplete. pls check this site out : http://en.wikipedia.org/wiki/Teams

'You can fool all the people some of the time,and some of the people all the time,but you cannot fool all the people all the time.'
Abraham Lincoln.
steve.m
#13 Posted : Monday, June 16, 2008 4:57:00 PM
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Joined: 12/7/2006
Posts: 44
kwani whats wrong people cant accept the truth we will make money mtake msitake.Look at this maths wananchi Telecom 10% +Kenya Data network and celtel 10% + France Telecom 10% +Econet 10% +Jamii telecom 4%+ Access kenya 1.25% + safaricom 20% TOTAL 65.25% .SO ITS SAFARICOM SHARE IS NOT 20% OF 65% AS YEKEYEKE IS TRYING TO SUGGEST.

http://en.wikipedia.org/...Teams#Ownershipwnership

Ownership of the cable will be as follows:


Kenyan Government - 20%


Emirates Telecommunication Establishment Etisalat - 15%


Private Investors - 65%


lie is a tragedy to those who feel while to those who think its a comedy
jammo
#14 Posted : Monday, June 16, 2008 5:36:00 PM
Rank: Member


Joined: 2/12/2008
Posts: 345
Interestin to see how much sentimental value is attached to this counter. At the end of the day its just that... A counter! Not everyone is as smart as to understand teams n implic to safcom.. Even So..the number of shares in safcom..make earnings per share roughly around shs0.40 per share? ..with supernormal profits? How sustainables is the supernormal?..on 40billion shares of 5cents per value? No matter how rosy a future the company has..apparently people really do not understand stock market behaviors. Sameer may hold small stock but overall impact per share by holding in TEAMS is far much greater than safcom share. When it comes to TEAMS..i go with sameer..n Access..i can't get into it right now but will explain soon. Don't let sentimentality n grand dreams cloud ur vision..or reasoning.

'..and it came to pass..' so did we!
This market will probably outlive us. Wacha pupa!!u can't have it all.
gkchege
#15 Posted : Tuesday, June 17, 2008 5:11:00 AM
Rank: Member


Joined: 9/19/2006
Posts: 17
Thanks for the lesson.

The share I repeat,is good in my own opinion. But dont get in expecting 50bob next year as some pple are touting here! Ati TEAMS will land like leo and the 40billion heads safcom way!

Sisemi musinunue - Let the pple decide!!
semaj
#16 Posted : Wednesday, June 18, 2008 3:54:00 AM
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Joined: 2/2/2007
Posts: 14
This shareholding arrangement is not a done deal http://www.nationmedia.c..._id=25&newsid=125543
steve.m
#17 Posted : Wednesday, June 18, 2008 9:58:00 AM
Rank: Member


Joined: 12/7/2006
Posts: 44
semaj the reporter is right that the project is not a done deal meaning it hasnt been completed,but to say that to say that share division between the eleven compaies hasnt been completed look at this section
[ According to the arrangement,the next stage will be for the companies to sign a shareholders’ agreement with the Government committing them to pay the full amount of the shares they have been allocated.]
Obviously since a lot of billions will come out of it the losers will not go down without a fight.
Also look at this statements used - I gather,In my own view,I say so because / There are a lot of personal views and facts mixed in the story .
If you remember just before the Ipo a certain reporter said that no retail investor was allowed to apply for more than 500,000 worth of sacom shares and si kibaki applied for 5 million worth of shares.
I also dont think the privatistion commission is going to reduce sacom share in the deal considering the uproar caused by the allocation it will be like stealing from the mwananchi again.
Guys I also heard in last nights news Michael Joseph saying that they will raise some cash for expansion through the stock market some time nextyear I dont know what they are planning but lets be prepared.

lie is a tragedy to those who feel while to those who think its a comedy
mlefu
#18 Posted : Sunday, June 21, 2009 3:39:00 AM
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Joined: 11/19/2009
Posts: 3,142
This safcom,real benefits just about to be seen.
Buy! Buy! Buy! at anything below ipo price!

Hata chui ana mkwe!
Alchemist
#19 Posted : Sunday, June 21, 2009 3:06:00 PM
Rank: Member


Joined: 4/28/2009
Posts: 28
I,on the other hand think that SFC's 20% interest in the fibre optic points to a possible entry into an untapped area of telecommunications. That of bundled cable tv and internet. Expect surprises.
mwanahisa
#20 Posted : Monday, June 22, 2009 4:14:00 AM
Rank: Elder


Joined: 6/2/2008
Posts: 1,438
@jammo,kindly note as per discussion elsewhere on this forum that Sameer Africa has no share in TEAMS hence there SHOULD be no impact on the Sameer Africa's share price arising thereof,other than perhaps out of misinformation. As for Access,that is a different story. I am otherwise in agreement with you regarding the effect of TEAMS on Safaricom share price. Too many shares means it is diificult to get a meaningful increase in EPS and the excessive supply will always come in to kill off any build-up in the price. For traders,Scom however is still quite a good share for trading - on BIG volumes and with discounted commisions,one can make money out even out of a 10 cents change in price (at a price of Kshs 3 or below) - and the beauty is that you can practically do this almost every week.


Opportunity calls but few respond.
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