Orascom to sell 50-% stake in Telecom Tunisie to Qatar Tele, Princesse Holding for $1.2-bn

Egyptian company Orascom Telecom Holdings today agreed to sell 50-per cent stake in Telecom Tunisie (Tunisiana) to Qatar Telecom (Qtel), the country's largest telecom operator and Tunisian investment firm Princesse Holding, for $1.2 billion in cash.

Qtel will acquire the stake through its majority-owned Wataniya Telecom unit, which already holds a 50-per cent stake in Tunisiana.

Tunisiana is the leading mobile telecom provider in Tunisia having over 5.5 million subscribers as of 30 September 2010 and holds a market share of 52.9 per cent.

Orascom and Wataniya Telecom were jointly awarded the licence for Tunisiana in 2002.

Under the terms of the agreement, Wataniya and the Princesse Holding will acquire the stake for $1.2 billion, representing a multiple of 6.7 times Telecom Tunisie's EBITDA for the year ended 31 December 2009.

''The acquisition is in line with the Qtel Group's vision for 2020, which aims to position us among the top 20 telecommunications companies in the world, and with our strategy of active portfolio development, through which we may seek to increase our ownership in well performing assets, with further growth potential,'' said Shaikh Abdullah Bin Mohammad Bin Saud Al Thani, chairman of Qtel Group.