Vodafone yesterday moved closer to securing control of South Africa’s leading mobile phone operator in a deal that will cost the British group 22.5 billion rand (£1.4 billion).

Vodafone’s partner, Telkom, indicated it was willing to sell 15 per cent of its mobile arm Vodacom, which would take Vodafone’s holding to 65 per cent in a business with 34.6 million subscribers.

South Africa’s Government, headed by the interim president Kgalema Motlanthe, is “supportive of the proposed transaction”, according to a statement released to investors by Telkom, which will remain the country’s dominant fixed-line operator.

Vodafone already owns 50 per cent of Vodacom and has been an investor in the operator since 1994. Its decision to raise its stake is part of a broader strategy to increase its exposure to emerging markets.

A deal will also help Vodafone and Telkom to break up restrictions that left both sides frustrated. Vodafone was able to invest in southern Africa only via the Vodacom joint venture, which also built up operations in the Democratic Republic of Congo, Lesotho, Mozambique and Tanzania.

Telkom will demerge its remaining 35 per cent holding, leaving Vodacom quoted in Johannesburg. Once out of Vodacom, the South African group plans to relaunch its own mobile service, having failed to persuade Vodafone to sell out.

In its last financial year, to March, Vodacom made R12 billion, up 16 per cent, on revenues of R48 billion, up 17 per cent. The deal values the whole group at R150 billion, or nine times last year’s underlying earnings.

Discussions between the parties date back several months, although Telkom had been considering a number of options, including a separate takeover proposal. However, yesterday’s statement represents a breakthrough and Vodafone is now confident that it can complete the deal, with Vitorio Colao, its chief executive, expected to fly to South Africa shortly.

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