VimpelCom holds Algerian sale talks

VimpelCom has begun talks to sell a majority stake in its subsidiary, Orascom Telecom Algerie (OTA), to the Algerian Government.

Any potential sale is dependent on the two parties agreeing on a suitable price for the share of the company and a series of other conditions.

The mobile service provider has remained flexible over scenarios for the acquisition to help ensure an agreement is reached between the two parties. However, a deal will only be reached subject to definitive documentation and if a price is agreed by both parties.

After agreeing to discuss a deal, the Algerian Ministry of Finance and VimpelCom will now sit down to determine the value of OTA. Any transaction can only go ahead subject to corporate approval from Orascom Telecom Holding (OTH), the majority stakeholder in OTA which VimpelCom purchased last year.

OTH officials have not yet been involved in discussions over the potential acquisition. VimpelCom owns 51.7 percent of OTH, which owns 96.81 percent of OTA.

More News

BT, Oracle partner to overcome cloud security and performance issues BT, Oracle partner to overcome cloud security and performance issues BT has teamed up with Oracle to boost connectivity to the US-based company’s cloud service. More detail
Telefónica halts sale of O2 UK Telefónica halts sale of O2 UK Telefónica has pulled the plug on the sale of its UK subsidiary following the failure of a proposed deal with rival Three and amid the UK's decision to leave the European Union. More detail
Ericsson wins KDDI enterprise IoT, Makedonski Telekom network deals Ericsson wins KDDI enterprise IoT, Makedonski Telekom network deals Ericsson has won deals to supply enterprise IoT to Japan’s KDDI and manage the network infrastructure of Deutsche Telekom’s Macedonian subsidiary. More detail
Orange buys Moldova’s Sun Communications, invests in Wi-Fi start-up Orange buys Moldova’s Sun Communications, invests in Wi-Fi start-up Orange is to acquire Moldova’s leading cable TV operator Sun Communications as it looks to sell converged services to its customers. More detail
Sky’s Now TV unveils contract free triple-play offer Sky’s Now TV unveils contract free triple-play offer Sky’s OTT TV service is to offer UK customers a triple-play service without the need to sign up to a contract. More detail