Japanese co set to buy 30pc stake in AKTel

Naim-Ul-Karim | Published: June 08, 2008 00:00:00 | Updated: February 01, 2018 00:00:00

AK Khan & Company is set to seek permission of the country's telecom regulator to sell its 30 per cent stake in AKTel after reaching a consensus with a Japanese operator, said a senior official Saturday.

He said Japan's premier mobile communications company-- NTT DoCoMo Inc--is expected to sit with AK Khan's chief to sign a deal after permission of the Bangladesh Telecom Regulatory Commission (BTRC) is obtained to buy the stake in AKTel, the country's third-biggest wireless carrier.

"There is a now verbal approval from the regulatory commission to sell AKTel's stake to NTT DoCoMo Inc," said a senior official, familiar with the deal process, and added: "We are planning to submit application to BTRC."

A director of BTRC told the FE Saturday, requesting for anonymity: "The commission will consider the issue positively after receiving the application to transfer the shares of AKTel."

Fazlur Rahman, director, Coordination and Regulatory Department of TM International (Bangladesh) Ltd, said there will be no objection to receive the Japanese company.

"We will welcome NTT DoCoMo Inc," he said.

Officials said NTT DoCoMo Inc, Japan's largest mobile-phone company, has convinced AK Khan & Co to buy stake in AKTel beating two more global giants by nearly half a billion U.S. dollar.

Ettihad Etisalat, a consortium headed by the UAE's Etisalat with incorporation of six Saudi joint venture partners, and Vodafone, the world's leading mobile telecom group, expressed interest to buy stake of AKTel.

Vodafone held talks to buy a 30 per cent stake in AKTel from its local owner-- A.K Khan and Co-- in a deal that could be worth more than US $300million, officials said.

Gavin Darby, chief executive officer of Vodafone Americas, Africa, China and India, recently in Dhaka, said: "I met Mr. Khan (Salahuddin Kasem Khan) chairman of A. K. Khan and Company. Mr. Khan is considering selling his AKTEL's shares. So in the short time, that is the opportunity that we are looking at in Bangladesh mobile market."

Officials said there was no progress in talks with Vodafone as DoCoMo offered reportedly $425 million for 30 per cent stake of AK Khan and Company in TM International (Bangladesh) Limited.