OT and FT acquire Motorola\'s stake in Egypt\'s MTC
Orascom Telecom (OT) and France Telecom (FT) have acquired Motorola’s 35.3 percent stake in the MobiNiL Telecommunication Consortium (MTC). The stake was distributed between OT and FT based on each company’s participation in the consortium. FT has increased its stake in MTC by 25.15 percent equivalent to $252 million or $19.60 per share of Egyptian Company for Mobile Services –ECMS.
Following the execution of the deal, FT will own 71.25 percent of MTC and 36.3 percent of ECMS. OT has increased its stake in MTC by 10.15 percent, raising its position to 28.75 percent. However, OT has not yet announced the acquisition price, which is expected to be in line with the price FT has concluded. Orascom Telecom directly owns another 16.6 percent in ECMS, thereby bringing its direct and indirect stake in the company to 31.3 percent. France Telecom will transfer its stake in ECMS to its Orange Division once the deal is finalized.
On another note, Orascom Telecom announced yesterday that it has finalized the acquisition of Motorola’s stakes in Jordan Mobile Telephone Services Ltd., FastLink and Pakistan Mobile Communication Ltd., and MobiLink. OT has acquired Motorola’s entire 26.1 percent stake in FastLink, raising its ownership to over 91 percent. In Pakistan, OT has also acquired Motorola’s entire 30.1 percent stake in MobiLink, increasing its ownership to 68 percent.
Prime Securities S.A.E.
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