Home / Algeria continues to block Orascom sale

Algeria continues to block Orascom sale

Deal between South Africa's MTN and Egypt's Orascom stalled by Algerian government

Orascom Telecom's chairman Naguib Sawiris is keen to exit Algeria.
Orascom Telecom's chairman Naguib Sawiris is keen to exit Algeria.

Algeria's government remains intent on preventing Orascom Telecom from selling Djezzy, its Algerian mobile phone unit, to MTN Group.

The ongoing problem could mean an end to the proposed deal between Orascom and MTN, which could lead to the creation of the world's third biggest mobile phone operator.

Hachemi Djaaboub, Algeria's Trade Minister, said that the Algerian state "holds to its right of pre-emption over the sale of Djezzy and will not allow its purchase by the South African firm MTN," Reuters reported, via APS, Algeria's official news agency.

Algeria initially blocked the deal in April and indicated that it was interested in buying Orascom's Algerian unit itself.