Etisalat said to be highest bidder for Maroc stake

Sources say UAE telco offers higher price than rival Ooredoo for Vivendi's Maroc Telecom stake

Gulf telecom operator Etisalat has offered a higher price for Vivendi's Maroc Telecom stake than rival Qatari bidder Ooredoo, according to two people familiar with the matter.

Etisalat's bid needs further work, however, and has more legal conditions than Ooredoo's offer, so Vivendi has not yet made a final choice, the people said.

"If Etisalat cleans up its offer, then it wins," said one of the sources, who is close to the process. "If not, it will go to Qatar, who also made an offer that Vivendi can accept."

While the exact prices of the offers were not clear, sources earlier told Reuters that they had come in lower than the 5 billion euros ($6.5bn) Vivendi had initially hoped for and closer to the market value of the stake.

Vivendi's 53 percent shareholding in Maroc Telecom is now worth 4.34 billion euros.

Vivendi has been in talks in recent weeks with Etisalat to remove some of the legal clauses, the people said. The UAE-backed group has scheduled an extraordinary shareholder meeting on May 28 to approve the financing package for its bid.

Ooredoo, meanwhile, crafted its offer with minimal conditions to make it simple and less risky for Vivendi, the group's strategy chief told Reuters earlier.

Vivendi has not asked Ooredoo to improve its offer so far, the first source said.

Spokesmen for Vivendi, Etisalat and Ooredoo declined to comment on Friday.

Maroc Telecom offers fixed-line, mobile and Internet services in the kingdom and is one of Africa's top telecom firms, with units in Burkina Faso, Gabon, Mali and Mauritania.

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.

NOTE: Comments posted on arabianbusiness.com may be printed in the magazine Arabian Business

Please post responsibly. Commenter Rules

  • No comments yet, be the first!

All comments are subject to approval before appearing

Further reading

Features & Analysis
Why the Qatar hacking incident has revived Gulf tensions

Why the Qatar hacking incident has revived Gulf tensions

Analysts say the incident was far more than a security breach...

The cost of cloud seeding in the UAE

The cost of cloud seeding in the UAE

As the country ramps up efforts to increase artificial rainfall...

3
Inside Google's brave new world

Inside Google's brave new world

The $500bn technology giant is extending its reach into hardware...

Most Discussed
sponsoredTracking