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Vodacom Group, South Africa’s leading mobile operator, announced today that it has received the backing of the Public Investment Corporation (PIC), South Africa’s public pension fund manager, for a deal to acquire a stake in Kenya’s Safaricom.

The Johannesburg-based company said it received a letter of support from the PIC, which holds a 15.63 percent stake in the telecoms company.

“In its letter of support, the PIC has undertaken to vote in favour of the resolutions required to implement the proposed transaction at the general meeting to be convened by Vodacom Group,” the company said.

Last month, Vodacom announced that it will acquire 35 percent stake in Safaricom, Kenya’s largest mobile operator, from Vodafone, for 35 billion rand ($2.6 billion).

The deal is part of a plan by Vodafone, the British telecoms giant, to consolidate its African businesses with the sale of its Safaricom stake to Vodacom in exchange for an increased stake in the South African company. Vodafone already owns 65 percent of Vodacom and will retain a 5 percent stake in Safaricom after the deal closes.

Founded in 1994, Vodacom Group has over 61 million customers in South Africa, Tanzania, Democratic Republic of Congo, Mozambique, and Lesotho. Through its Vodacom Business Africa, the company offers managed services to enterprises in over 40 countries across Africa, including Nigeria.

Vodacom’s stock was up 1.57 percent to 166.29 rand per share as at 4.03 GMT.