Zain court ruling "will not derail" KSA unit sale
Batelco chief says he does not believe ruling will disrupt Zain KSA deal.
A court ruling against Kuwait's Zain will not derail the telco's $950 million deal to sell its 25% stake in its subsidiary Zain Saudi, according to a report from Reuters.
Peter Kaliaropoulos, CEO of strategic investment, Batelco, which has partnered with Saudi conglomerate Kingdom Holding to buy the 25% stake in Zain KSA, said he was awaiting clarification from Zain on any implications from Sunday's court ruling, the report added.
The court ruled that Zain's April annual general meeting was invalid, upholding a case brought by a former board member who opposed the election process, Reuters reported on Sunday.
"The court case was in Kuwait, not Saudi Arabia. If it was detrimental, we would have heard straight away. I can only judge that because we haven't heard at this point in time, it's not a material impact," Kaliaropoulos was quoted as saying.
Kaliaropoulos confirmed that he expected due diligence on the deal to be completed by the end of September.
Zain Group accepted a non-binding offer from Batelco and KHC to acquire its 25% stake in Zain Saudi Arabia in March.