State-owned Telecom Egypt (TE) is reportedly looking to mandate financial advisers, as it considers selling its 45% stake in local mobile operator Vodafone Egypt. Requests for proposals asking local and international banks to value the carrier and…
State-owned Telecom Egypt (TE) is reportedly looking to mandate financial advisers, as it considers selling its 45% stake in local mobile operator Vodafone Egypt.
Requests for proposals asking local and international banks to value the carrier and identify potential buyers have been sent, according to a Bloomberg report citing two people with knowledge of the situation.
In September, the Egyptian government reportedly gave TE until the end of 2015 to sell its interest in Vodafone Egypt.
The decision came just after officials approved the issuance of a unified licence to allow fixed-line telco TE to also offer mobile services using other operators’ networks.
But Vodafone Egypt has expressed concerns that the new permit will unfairly favour TE and create a conflict of interest. Its British parent Vodafone forwarded its issues to the Egyptian authorities a few months back.
Earlier this year, a person familiar with the situation told TelecomFinance that TE had no plans to sell its stake in Vodafone Egypt because its new licence did not come with spectrum. Once it acquires 4G spectrum and becomes a full MNO, the operator will assess its options regarding its interest in the mobile player, the person said at the time.
TE did not respond to a request to comment on the latest report.
