Kuwait Projects Co (Kipco) has rejected a US$3.2bn offer from a US private equity firm reported to be Hellman & Friedman for a majority stake in OSN, the MENA-focused pay-TV provider.
The investment group, which holds 60.5% of OSN, said in a bourse…
Kuwait Projects Co (Kipco) has rejected a US$3.2bn offer from a US private equity firm reported to be Hellman & Friedman for a majority stake in OSN, the MENA-focused pay-TV provider.
The investment group, which holds 60.5% of OSN, said in a bourse filing yesterday that the deal included US$2.4bn in cash and US$800m linked to certain conditions.
It said it was for between 51% and 100% of OSN and was also rejected by the pay-TV group’s other owner, private Saudi investment firm Mawarid Group.
The bid came as the parents consider floating the pay-TV firm that was valued last year by local brokerage Arqaam Capital at US$4.3bn.
Rothschild has been hired to look at IPO options, including a possible London listing.
Faisal Al-Ayyar, Kipco’s deputy chairman, told reporters in March 2014 that it would kick off an IPO process “within weeks”, but a few months later the group’s CEO said the move was not imminent.
Kipco declined to comment on the matter today.
OSN’s revenues soared 29% in 2013 to reach around KD139.5m (US$493m). It posted KD10.44m (US$37m) in profit for 2013, compared with a KD3.41m (US$12m) loss the year before.
