[ad_1]
Source: Dubai – Arabia.net
The Saudi Telecom Company “STC” announced the end of the term of the Memorandum of Understanding with Vodafone Group (Vodafone) for the possible acquisition of the 55% stake of Vodafone Group in Vodafone Egypt, without reaching an agreement to complete the operation.
The company added, in a statement published on the Saudi market website “Tadawul”, that the end of the extension of the memorandum of understanding is due to incompatibility with the interested parties, and the understanding was also made between stc and Vodafone Group to keep the dialogue open.
The “STC” had extended the memorandum of understanding, last April, for a period of 90 days. He emphasized that the two companies will work during this period to proceed with the transaction procedures, as specified in the memorandum of understanding, indicating that they will subsequently announce any substantive development in a timely manner.
The Saudi telecommunications company “STC” signed a non-binding memorandum of understanding with “Vodafone Group” on January 29, 2020, with the aim of acquiring “Vodafone” stake in “Vodafone Egypt”, amounting to 55%.
A few days ago, Bloomberg revealed that Saudi Telecom Company (STC) is negotiating to reduce the non-binding offer of $ 2.39 billion to buy a stake in Vodafone Egypt, according to Bloomberg, citing sources.
The deadline for the Saudi company “STC” to proceed with the submitted non-binding offer was supposed to expire in January, and in July the Saudi company extended the memorandum of understanding, for the second time, for a period of 60 days due to the impact of the Corona virus epidemic.
The Egyptian Capital Market Law requires Saudi Telecom Company to submit a mandatory purchase offer for the entire stake of Vodafone Egypt, including the stake of Telecom Egypt.
Bloomberg noted that STC said its offer to buy 55% of Vodafone Egypt, which is the stake of Vodafone International, brings the total value of the company to $ 4.35 billion.
[ad_2]
