Orascom to bid for 55% stake in Vodafone Egypt
www.WirelessFederation.com/news: Orascom Telecom has announced that it will bid for 55 percent stake in Vodafone Egypt if Vodafone Group put it up for sale. According to Orascom chairman Naguib Sawiris, Orascom would strongly compete for the stake if Vodafone decides to sell.
Telecom Egypt controls the remaining 45 percent of Vodafone Egypt. Analysts have estimated the value of Vodafone’s 55 percent to be around GBP 3 billion (USD 4.36 billion).
Telecom Egypt eyes integrated telecom company
www.WirelessFederation.com/news: Acquisition of an integrated telecom company has been considered by state-owned Telecom Egypt which is the only provider of fixed-line services in the country. If the fourth mobile license arrives in the market, the company would consider making a bid for it.
However, no timeline for the acquisitions has been given and the possibility of a fourth mobile license depends on the Egyptian regulator.
According to firm’s chief executive officer, Tarek Tantawy, the company is interested in increasing its exposure to mobile and the market can sustain a fourth player and if it comes up the firm is more than interested.
Profit contribution in 2009 from Vodafone Egypt increased 8% year-on-year to EGP1.4 billion and its total customers stood at 23.3 million at the end of December. Telecom Egypt has a 45% stake in Vodafone Egypt.
Telecom Egypt stake might be sold by the govt
www.WirelessFederation.com/news: 80% stake in fixed line incumbent Telecom Egypt (TE) is considered to be sold by the Egyptian government. However, no final decision has been reached till now on such a divestment and no timeframe for a final decision on a stake sale has been suggested. Any such would also require prior approval from the cabinet.
After selling 20% tranche in December 2005, remaining 80% is held by the government.
According to Tarek Kamel, Egypt’s communications minister, depending on ongoing studies with experts and consultancies, an additional stake from Telecom Egypt could be listed on the stock exchange in the future. He also announced that fourth mobile license could also be offered again depending upon further studies on market dynamics and the added value of such an act.
Telecom Egypt has also expressed its desire to look to bid were such a concession put up for grabs.
Mobinil may seek its own international gateway licence (Egypt)
www.WirelessFederation.com/news: Mobinil, the Egyptian mobile telephone operator, may have to buy its own international gateway licence if its current provider does not cut prices. Mobinil now wants Telecom Egypt (TE) to reduce charges for leasing circuits and telephone exchanges and for international calls.
Yasser Radwan, Mobinil’s Commercial Vice President, said, “Mobinil wants to obtain better prices than anyone else seeking its service,”.
Radwan also stated that every company may start getting its own licencef, if TE does not provide for the needs of its customers at competitive rates for international calls.
TE & Vodafone Egypt ink wholesale services deal
www.WirelessFederation.com/news: Telecom Egypt and Vodafone Egypt have inked an agreement for the provision of wholesale telecommunications services.with immediate effect and is expected to represent a total value for TE of approximately EGP 4 billion over the next three years.The deal entails two distinct elements, using TE international gateway services to transit all Vodafone incoming and outgoing international traffic, plus relying on TE’s domestic network for all Vodafone infrastructure leasing needs.
