Orascom loses Algeria appeal, hints to sale?
Orascom Telecom said it would review all “strategic options” after an Algerian court rejected its appeal against a US$596.9m tax claim.
“Orascom Telecom Algeria intends to appeal the rejection according to the Algerian rules and regulations which…
Orascom Telecom said it would review all “strategic options” after an Algerian court rejected its appeal against a US$596.9m tax claim.
“Orascom Telecom Algeria intends to appeal the rejection according to the Algerian rules and regulations which dictates [sic] a three tiered appeal process,” the group says in a statement, before adding: “On the other hand, Orascom Telecom Holding is exploring all its other strategic options.”
The latter statement suggests that the pressure Orascom faces in Algeria is pushing it to consider selling its local subsidiary, which operates under the brand name Djezzy.
The group has previously admitted to holding informal talks with potential buyers for Djezzy, considered to be the group’s cash cow, but said that all talks were ended after the tax row erupted.
To launch its second appeal, Orascom must once again pay another 20% of the claimed amount, representing another payment of US$110m.
