It is estimated that the state-owned, 45% share in the operator is worth $1.2bn to $1.4bn
There has been speculation for several weeks that the Qatar Investment Authority (QIA) is planning to acquire Telecom Egypt’s 45% stake in Vodafone Egypt. Reports in local media suggest this could be finalised in September but there appears to be stumbling blocks to the deal.
Originally sources suggested that the deal would be sewn up in July, but the Egyptian government, via Telecom Egypt, held up proceedings as it is reluctant to divest a shareholding of more than 25%. The government is the main shareholder in Vodafone Egypt.
By all accounts, QIA remains keen to acquire 45%, so negotiations are continuing to break the impasse. Nevertheless, Daily New Egypt claims sources who believe the deal will come to pass in September. Certainly the proposed sales of Telecom Egypt’s stake has had many twists and turns, and changes of heart.
Telecom Egypt’s share in Vodafone Egypt is put at between $1.2 billion to $1.3 billion.