Zain acquisition progressing well
UAE telco poised to acquire Zain "very soon" according to a report from Reuters
Etisalat's plan to buy a 46% stake in Kuwait's Zain Group for about $12 billion appears to be on track, with talks progressing well and the deal expected to close soon, according to a report from Reuters, which cited a source familiar with the deal.
"The progress of the talks are going smoothly and (the deal) is expected to be finalised very soon," the source told Reuters.
The source added that several operators had also shown interest in buying a stake in Zain Saudi once the deal is completed, the report added.
Etisalat will be forced to sell either its stake in its Saudi Arabian operation, Mobily, or Zain Saudi Arabia, if the acquisition goes ahead, in order to comply with the country's telecoms regulations.
However, Etisalat is more likely to want to hold on to Mobily, which is well established in the Saudi market and already has an extensive HSPA+ network.