Etisalat Holds Board Meeting This Week to Discuss IPO in EGX

UAE mobile operator Etisalat’s Egyptian unit ‘Etisalat Egypt’ will be holding a board meeting this week to decide whether to IPO shares in Egypt bourse or not.

The board of directors of Etisalat Egypt will be holding its meeting within the current week to give whether its nod or refusal towards preparing for an initial public offering (IPO) in the Egyptian Exchange (EGX).

Etisalat Egypt captures 24% of share in Egypt’s mobile market, with total subscribers amounting to around 24 million.

Sources from the mobile operator told Amwal Al Ghad that the Parent company Etisalat UAE – which seizes 80% of Etisalat Egypt’s shares – will have the upper hand as regard to the share offering in the EGX.

Sources from the mobile operator told Amwal Al Ghad that the share offering decision is in the hands of the Parent company Etisalat UAE since it seizes an 80% share in Etisalat Egypt.

Last March 17th, UAE Etisalat’s CEO Ehab Rushdi announced it is considering to prepare its Egyptian unit ‘Etisalat Egypt’ for an IPO in Egypt’s bourse.
He said the telecom operator waits the suitable time for the share offering, the official said, adding that his company is currently preparing for such a move.

Rushdi also referred that the stock listing requires favorable atmosphere including fair competition, in addition to strict legislations ensuring investors’ rights. He added that Etisalat was set to launch the IPO but shelved such a move due to the country’s political turmoil.

Etisalat UAE’s CEO also stressed that listing on EGX will give Etisalat a competitive edge, especially after the delisting of Vodafone and Mobinil.