A Kuwaiti court has dismissed a suit by Zain shareholder Al Fawares, which is looking to derail a sale of a 46% stake in the company to Etisalat.
As such, the UAE incumbent will be able to proceed with its US$12bn bid.
Al Fawares Holding, which owns 4.5%…
A Kuwaiti court has dismissed a suit by Zain shareholder Al Fawares, which is looking to derail a sale of a 46% stake in the company to Etisalat.
As such, the UAE incumbent will be able to proceed with its US$12bn bid.
Al Fawares Holding, which owns 4.5% of Zain, launched the suit to protest Zain’s agreement to allow Etisalat to carry out due diligence on its target. Nor does it approve of the plan for Zain/Etisalat to sell off Zain’s Saudi Arabian operation in order to comply with local FDI rules.
A lawyer for Al Fawares told Reuters that the group would appeal the decision.
Etisalat has set a January 15 deadline to close the deal, but this is widely seen as flexible.
Etisalat and Zain were not available for comment.
