Etisalat confirms plan to buy 46% stake in Zain
Etisalat rebuffs rumours that it planned to buy a reduced stake in Zain.
UAE telco Etisalat has confirmed that it remains committed to acquiring a 46% stake in Zain Group and dismissed rumours that it planned to acquire a smaller stake than originally stated.
“The 46% conditional deal is still on - as agreed upon in the initial proposal,” Etisalat said in a statement. “Etisalat will inform its stakeholders with the results directly whenever there is something to be disclosed,” the company added.
The statement was in response to a report from Reuters which suggested that Etisalat had lowered its targeted share of Zain to 40% after shareholder opposition threatened to delay the sale.
Etisalat's plan to acquire Zain has faced a number of hurdles, with a number of shareholders opposing the decision of the Kharafi family, which owns 20-25% of Zain, to sell the group to Etisalat