Vodacom Tanzania has issued a draft prospectus for its proposed Initial Public Offer (IPO) and the listing of shares on the Dar es Salaam Stock Exchange (DSE).

In its announcement the company said the move is a significant step towards implementing the Electronic Postal and Communications Act, as amended by the Finance Act 2016, which requires all telecommunications licensees to issue 25% of their shares on the DSE.

Ian Ferrao, Managing Director of Vodacom Tanzania, said: "We are pleased to announce that we have filed our application and draft prospectus for consideration by the Capital Markets and Securities Authority. This document sets out our proposals on the structure and timetable for the listing."

Ferrao adds: "We believe that the IPO will be a landmark transaction for the DSE, the people of Tanzania, and the economy. We look forward to our continued engagement with key stakeholders, including the Government, the Capital Markets and Securities Authority, the DSE and regulatory authorities, before finalising the listing details. We remain fully committed to ensuring that the transaction will be a success for all the parties involved and will share further information in due course".

The mobile network operator has noted that the IPO and listing process is subject to regulatory approvals and says it will continue to work closely with regulators.

Vodacom has established a strong presence in Tanzania and in July 2016 announced a second-generation M-Pesa platform to bolster the mobile money service.

At the time the company said the M-Pesa service had attracted 9 million customers.

Aside from Tanzania, the mobile network operator currently operates in DRC, Lesotho, Mozambique and South Africa and provides business managed services to enterprises in 40 countries across the continent.

Earlier this year Vodacom chairperson Peter Moyo confirmed the company's intention adopt a disciplined approach to expanding operations on the continent.