Logo of Zain KSA
Mobile Telecommunication Company Saudi Arabia’s (Zain KSA) board of directors approved the final offers received from the Public Investment Fund (PIF), Prince Saud bin Fahad, and Sultan Holding Co. after completing the due diligence and internal approvals of all parties.
The final offers were submitted to acquire stakes in Zain KSA’s tower infrastructure comprising 8,069 towers, valuing these assets at SAR 3.026 billion ($807 million), Zain KSA said in a statement to Tadawul.
According to the final offer, the Kingdom’s sovereign wealth fund, Prince Saud bin Fahad, and Sultan Holding Company will acquire 60%, 10%, and 10% stakes in the tower infrastructure, respectively. On the other hand, Zain KSA will own the remaining 20% stake.
The PIF’s final offer also includes a call option that will grant the fund the right to buy the remaining 20% stake from Zain KSA for a certain consideration.
Based on the terms of the final offers, Zain KSA will sell its passive, physical towers infrastructure and retain all other wireless communication antennas, software, technology, and intellectual property.
The Tadawul-listed telecom operator will work with the parties to complete the deal and obtain the necessary licenses. The final offers are subject to obtaining the required approvals from the relevant official authorities, and other conditions that may be agreed upon by the parties.
The net asset value of SAR 1.4 billion will be transferred to assets held for sale and the depreciation of those assets will be suspended.
Any material developments will be announced in due course, Zain KSA added.
Comments
{{DisplayName}}
{{ElapsedTime}}