Qatar, advised by Credit Suisse, has approached Saudi Oger to acquire its 55% stake in Oger Telecom, Reuters reports with reference to unnamed sources familiar with the matter.
A successful transaction would also give Qatar control over Turk Telecom and…
Qatar, advised by Credit Suisse, has approached Saudi Oger to acquire its 55% stake in Oger Telecom, Reuters reports with reference to unnamed sources familiar with the matter.
A successful transaction would also give Qatar control over Turk Telecom and its mobile operator Avea, as well as over Cell C of South Africa, which is 75% owned by Oger Telecom.
The article describes the situation as highly complex, noting that Oger Telecom co-owner Saudi Telecom (STC), which controls about 35% of Oger Telecom, has a right of first refusal if Saudi Oger’s stake in Oger Telecom comes up for sale.
Any transaction could be further complicated because a change of control in Turk Telecom might require the new owner to make an offer to minority shareholders in the Turkish operator, the report said.
Valuation of any deal is difficult, the news agency writes, given that Cell C is unlisted. But Oger Telecom’s stake in Turk Telecom is valued at around US$8.6bn at least.
STC is advised by Goldman Sachs, and Saudi Oger, which is owned by the family of the late prime minister of Lebanon, Rafik al-Hariri, is advised by Citigroup and Deutsche Bank, the article stated, referring to unnamed banking sources.
According to the article it is unclear if Qatar will go ahead with a bid or if STC would make an offer. One source was quoted saying that Qatar and STC might compete for the 55% stake owned by Saudi Oger.
None of the involved parties commented on the report, Reuters wrote.
