Kuwait: Third mobile telecommunications company issues tender document
The Establishing Committee for the Third Mobile Telecommunications Company in Kuwait today issued a Tender Document providing interested bidders with details of the final Public Auction process for the sale of 26% share of the Third Mobile Telecommunications Company in Kuwait.
As per the stipulations of Law No 2 of 2007, companies listed on the Kuwait Stock Exchange and foreign telecommunications operators are allowed to participate in this Public Auction either individually, or as member investors of a consortium. Such a consortium may be comprised of companies listed on the Kuwait Stock Exchange or foreign telecommunications operators, or a combination of both.
Following a review of the Public Auction process by the Establishing Committee, under the guidance of the Council of Ministers, the process has been set as a single stage bid with no Pre-Qualification requirements. The 26% share in the Third Mobile Telecommunications Company will be awarded to the bidder that submits the highest bid. According to the Establishing Committee, the Tender Document explains the timeline and the terms and conditions of the tendering process in detail.
Interested bidders, who elect to submit a bid, must demonstrate corporate good standing by submitting certificates from the concerned authorities in their respective incorporation jurisdictions. In addition, interested bidders must deposit a Bid Bond to demonstrate their commitment towards making payment for the 26% ownership and also commit to maintaining a Founder’s level ownership for a minimum of 5 years, if selected as the winning bidder.
As per Law No. 2 of 2007, all interested bidders have to demonstrate independence from the existing mobile operators in Kuwait, namely Mobile Telecommunications Company (Zain) and National Mobile Telecommunications Company (Wataniya Telecom), and both the aforementioned operators cannot own any ownership equity of the interested bidders, either directly or indirectly.
All the participants who have registered and paid to participate in the previous Pre-Qualification process are invited to access the Tender Document.
New interested bidders, who were not part of the previous Pre-Qualification process, may also participate in the revised Public Auction process, subject to their meeting the minimum requirements as per Law No. 2 of 2007, which are detailed in the Tender Document.
New interested bidders must first complete the registration form and then pay a non-refundable fee in order to obtain the Tender Document. After receipt of the registration form and the fee, the Establishing Committee will notify the interested bidders via email of their official status as a Tender Participant, and their eligibility to download the Tender Document from a secure area on the Establishing Committee’s website (http://telecom.kia.gov.kw).
The Tender Clarification period to answer all Tender Participants’ questions, as detailed in the Tender Document, will end at the Kuwait close of business time of 18:00 on October 21, 2007, after which time no further Tender Clarifications will be accepted by the Establishing Committee. The bids should be submitted no later than the Kuwait close of business time of 18:00 on November 18, 2007 after which time no further bids will be accepted by the Establishing Committee.