Qatar Investment Authority (QIA) is in talks to acquire 20 percent in Vodafone Egypt from Telecom Egypt company with $2.5 billion well as other state-held stakes in unlisted companies, sources close to the matter told Bloomberg.
However,Telecom Egypt hasn’t received a formal offer yet
TE is in talks with three Arab sovereign funds to divest part of its stake in Vodafone Egypt, though the telecoms giant has yet to receive any official bids, a source close to the matter confirmed to Enterprise. We’ve previously reported that the Qatar Investment Authority (QIA), Saudi Arabia’s Public Investment Fund, and Abu Dhabi’s ADQ are all in talks with the government over a piece of Vodafone Egypt.
What’s the timeline on the Vodafone Egypt stake sale? TE could come to an agreement with one of the funds by the end of the year, our source confirmed.
We knew this was coming: The three funds have been in talks with the government — which owns 80% of TE — over the Vodafone stake for the past few months. Bloomberg Asharq reported previously that QIA is looking to acquire as much as 25% of the company, while our source tells us TE is open to selling up to a 20% stake in Vodafone Egypt “at the right price that would bring maximum returns to shareholders.” The EGX-listed telecoms giant holds a 45% stake in the company.
QIA has reportedly been eyeing several Egyptian companies: The fund was rumored to be looking at the EGX as an entry point to deploy capital as part of moves by our neighbors in the region to help shore up our economy with an influx of FDI.
