Kuwait launches IPO for third mobile company
Tuesday, 26 August 2008
KUWAIT CITY, Aug 25 (AFP): Kuwait launched an initial public offering (IPO) Sunday for the emirate's third mobile phone company which is expected to start operating later this year, officials said.
Under the IPO, open until September 18, half of Kuwait Telecom Company's capital of 500 million shares will be available to Kuwaiti citizens only for a nominal price of 100 fils (37 cents) plus a five fils premium per share.
Salman al-Badran, head of the new mobile phone project, said in a statement the IPO will raise 26.25 million dinars (US$98.3 million).
Last November, Saudi Telecom (STC), the largest Arab telecommunications firm, won a 26-per cent stake in Kuwait Telecom Company after bidding 248.7 million dinars ($931.4 million) to become the main operator.
The government will hold the remaining 24 per cent.
Kuwait currently has two mobile operators-Zain, established in 1983, and National Mobile Telecommunications Co (Wataniya), operating since 1999. Together they have 2.5 million clients in a country of 3.4 million people.
Under the IPO, open until September 18, half of Kuwait Telecom Company's capital of 500 million shares will be available to Kuwaiti citizens only for a nominal price of 100 fils (37 cents) plus a five fils premium per share.
Salman al-Badran, head of the new mobile phone project, said in a statement the IPO will raise 26.25 million dinars (US$98.3 million).
Last November, Saudi Telecom (STC), the largest Arab telecommunications firm, won a 26-per cent stake in Kuwait Telecom Company after bidding 248.7 million dinars ($931.4 million) to become the main operator.
The government will hold the remaining 24 per cent.
Kuwait currently has two mobile operators-Zain, established in 1983, and National Mobile Telecommunications Co (Wataniya), operating since 1999. Together they have 2.5 million clients in a country of 3.4 million people.