Vodafone (VOD.L) announced Thursday that the CEO of its largest shareholder, Emirates telecoms giant Etisalat (EAND.AD), commonly known as e&, will join its board to enhance their strategic collaboration.
The British business said e& CEO Hatem Dowidar would remain on the board provided e& maintained its 14.6% ownership and might add a second non-executive director if its stock surpassed 20%.
It wants more Vodafone shares.
Last month’s permanent Vodafone CEO Margherita Della Valle said improved collaboration with e& will benefit both businesses and teach Vodafone’s board telecommunications.
The groups suggested offering corporations and public sector companies cross-border digital services and solutions, collaborative procurement, closer roaming agreements, and technological collaboration.
E& has grown its Vodafone shareholding since May 2022.
Vodafone’s Netherlands partner Liberty Global and Italian rival Xavier Niel are stockholders.
Della Valle, which operates in Europe and Africa, is under pressure to reorganize and consolidate large markets like Britain and Italy.
Analysts think Vodafone’s footprint changes may benefit all three telecom industry shareholders. Vodafone dipped 0.5% early Thursday.
