www.WirelessFederation.com/news: In a move to strengthen the balance sheet and ensure liquidity including financing needs, Orascom Telecom Holding (OTH) has announced to plan a Rights Issue to raise around US$800 million from its shareholders.

The proposed Rights Issue is subject to shareholders’ approval at the EGM to be held on December 27, 2009. Bank of America Merrill Lynch, BNP Paribas, Citigroup Global Markets Limited, Credit Suisse Securities (Europe) Limited and EFG-Hermes has been appointed by OTH to advise on the Rights Issue.

Weather Investments owning approximately 50.6% of the outstanding shares of the company has expressed its commitment to subscribe for a minimum of its existing pro rata share in the Rights Issue.

According to Naguib Sawiris, Executive Chairman of OTH, the transaction will enable the company to strengthen its balance sheet to benefit fully while the conditions improve across their core markets.

In the meantime the company will work towards the optimal resolution of the tax dispute in Algeria. The Rights Issue has been chosen at par as per common practice in the Egyptian Capital Markets.