Saudi Arabia’s Mobily and Etihad Atheeb Telecom (Go)have ended deal talks about the potential acquisition of the fixed-line telco by Mobily, the mobile operator.
Mobily did not disclose why the discussions did not result in a transaction. But its…
Saudi Arabia’s Mobily and Etihad Atheeb Telecom (Go)have ended deal talks about the potential acquisition of the fixed-line telco by Mobily, the mobile operator.
Mobily did not disclose why the discussions did not result in a transaction. But its announcement was in reaction to Go saying earlier today it decided to stop the talks.
Mobily was not immediately available for further comment while Go could not be reached before the press deadline.
In August last year, Mobily agreed with some of Go’s founding shareholders to acquire a stake in the company, via its Bayanat subsidiary, for an undisclosed amount.
But discussions progressed slowly.
Finally in April, the due diligence process was completed. The two sides then started discussing the different steps of the deal process, which would have seen Bayanat subscribe to up to 20% of Go’s share capital by acquiring the founding shareholders’ subscription rights.