State-owned Telecom Egypt (TE) has until December 2015 to sell its 45% stake in local mobile operator Vodafone Egypt, the government was quoted as saying. The news, reported by several media, comes just after officials reportedly approved the issuance…
State-owned Telecom Egypt (TE) has until December 2015 to sell its 45% stake in local mobile operator Vodafone Egypt, the government was quoted as saying.
The news, reported by several media, comes just after officials reportedly approved the issuance of a unified licence, earlier this week, to allow fixed-line telco TE to also offer mobile services using other operators’ networks.
In April, TE agreed to pay E£2.5bn (US$358m) to receive the licence, which is now expected to be activated soon.
At the time, however, Vodafone Egypt had expressed concerns that the new permit would unfairly favour the fixed-line operator and create a conflict of interest. Its British parent Vodafone forwarded its issues to the Egyptian authorities.
Orange’s Mobinil and Etisalat also provide mobile services in the country.
Earlier this year, a person familiar with the situation told TelecomFinance that TE had no plans for its interest in Vodafone Egypt because its licence did not come with spectrum. Once it acquires 4G spectrum and becomes a full MNO, the operator would assess its options regarding its stake in the mobile player, the person said at the time.
Reports this week indicate that a special ministerial committee has been created to oversee TE’s exit from Vodafone Egypt before the end of 2015.
TE and Vodafone Egypt were unable to comment on the reports while the Egyptian cabinet could not be reached for comments.
