Sign in
e& pulls the plug on KSA’s Mobily acquisition: Telecom giant e& has terminated discussions for a controlling stake in Saudi Arabia’s leading operator, Mobily, according to a disclosure (pdf) to the ADX last week.
The transaction had been in the works for more than a year and a half: “A way forward to conclude the potential transaction could not be determined,” e& said, without providing further details. The termination of talks came nearly two years after e& said in March 2022 it was looking to take a larger stake in Mobily.
The new structure: e& now has a 28% stake in Mobily — making it Mobily’s largest shareholder — and said it was looking for majority control with a bid to go up to 50% plus one share. It was offering SAR 47.00 per share, valuing Mobily at c. USD 9.7 bn.
e& is looking to grow globally: In August, the telecom giant signed a binding agreement worth EUR 2.2 bn to acquire Czech PPF Telecom Group’s assets in Eastern Europe. E&’s second major foray into Europe came as it continued to gradually boost its stake in British telecoms group Vodafone to 14.6% since May 2022 when it acquired a c. 10% stake in the company for USD 4.4 bn.
