Telecom Egypt to sell stake in Nokia Egypt for $1.5mn

Big 5

State landline monopoly, Telecom Egypt plans to sell its stake in Nokia’s Egyptian unit for 11.5 million Egyptian pounds ($1.5 million) approximately, senior sources from investment bank, EFG Hermes told Amwal Al Ghad Wednesday.

Telecom Egypt has a 10 percent stake in Nokia Egypt, with book value worth around 7.5 million pounds.

EFG Hermes has estimated in a study the Telecom Egypt’s anticipated deal between 11.5 and 11.8 million pounds.

Nokia may buy Telecom Egypt’s stake in Nokia Egypt, as part of the Finnish telecom gear maker’s plan to complete its acquisition of Alcatel-Lucent worldwide, the sources added.

Earlier, Finland’s Nokia announced last January it had gained control of French rival Alcatel-Lucent following its 15.6-billion-euro ($17 billion) all-share offer and the two telecom equipment makers had combined on January 14. The French stock market authority said interim results showed Nokia holds nearly 80 percent of Alcatel shares.