Etisalat picks banks for $6bn Maroc buy - sources

  • Share via facebook
  • Tweet this
  • Bookmark and Share

Etisalat, the United Arab Emirates' biggest telecommunications operator, has hired banks to advise on its planned acquisition of Vivendi's 53 percent stake in Maroc Telecom, banking sources aware of the matter said.

The state-controlled firm picked BNP Paribas and Morocco's Attijariwafa Bank as financial advisers, the sources said, speaking on condition of anonymity as the matter has not been made public.

A spokesman for Etisalat declined to comment.

Vivendi, the French media, entertainment and telecoms conglomerate, is looking to sell several assets as part of an overhaul aimed at cutting debt and reducing its exposure to the capital-intensive telecoms business.

Its majority stake in Maroc Telecom is worth about US$6bn on current market value, and a potential buyer for the stake would also be expected to make a mandatory offer to minority shareholders, further boosting the takeover price.

Etisalat is talking to banks about a syndicated loan of up to US$8bn to finance the potential transaction, banking sources told Reuters Loan and Pricing Corp earlier in February.

Other bidders for the stake include Gulf operator Qatar Telecom (Qtel) and South Korean telecoms company KT Corp.

Qtel has hired JP Morgan Chase Inc as adviser, while KT Corp picked Citigroup Inc, Credit Suisse and Societe Generale to advise and finance a potential transaction, according to sources familiar with the matter.

Maroc Telecom has majority stakes in Gabon Telecom, Mauritania's MaurieTel, Burkina Faso's Onatel and Mali's Sotelma.

It posted a 17 percent drop in 2012 net profit, citing restructuring charges and a non-recurring contribution to the government. Morocco is expected to retain its 30 percent holding in Maroc Telecom. 

Related:
Join the Discussion

Disclaimer:The view expressed here by our readers are not necessarily shared by Arabian Business, its employees, sponsors or its advertisers.

Please post responsibly. Commenter Rules

  • No comments yet, be the first!

Enter the words above: Enter the numbers you hear:

All comments are subject to approval before appearing

Further reading

Features & Analysis
Revealed: the best Dubai Twitter accounts to follow

Revealed: the best Dubai Twitter accounts to follow

Live in Dubai and hoping to get in on the Twitter buzz? Here...

How to get the most out of social media, by Obama's 2008 campaign manager

How to get the most out of social media, by Obama's 2008 campaign manager

David Plouffe is credited with Barack Obama’s unlikely 2008 victory...

Growth spurt for Gulf's e-commerce sector

Growth spurt for Gulf's e-commerce sector

The recent sale of Talabat.com to Germany’s Rocket Internet for...

Most Discussed
  • 14
    Why I'm giving all my wealth away

    It is a grand gesture by his HRH Prince Waleed in the interest of mankind at large. May god bless him with good health. Let other ultra rich follow his... more

    Friday, 3 July 2015 11:27 AM - sandeep
  • 4
    UAE to finish drafting corporate tax, VAT laws in Q3

    This will be my last day here if taxes are introduced. Why would anyone stay suffering at 40 Degrees + in the desert? Let's be honest, the majority of... more

    Friday, 3 July 2015 5:10 PM - Chris