https://arab.news/paaz4
RIYADH: Kuwaiti telecom major Zain Group announced on Thursday that it increased its share in the UAE-based TASC Towers from 83.47 percent to 92.87 percent, according to a press release.
In a disclosure letter sent to Boursa Kuwait, Zain Group Vice-Chairman and CEO Bader Nasser Al-Kharafi announced that the company will continue to operate independently with a board of non-Zain majority members.
Given the nature of Zain’s shareholding and the independent operating model, TASC Towers will remain an associate company of Zain Group.
In the material information disclosure, Al-Kharafi emphasized that the declaration would not impact his company’s financial position.
TASC Towers is the largest independent tower company in the Middle East and North Africa region.
In July, Zain Group, in collaboration with Qatari telecoms company Ooredoo, announced their discussions to establish the largest tower company in the Middle East and North Africa.
The statement indicated that these negotiations aimed to consolidate their collective telecommunication tower assets, numbering around 30,000, located in Qatar, Kuwait, Algeria, Tunisia, Iraq, and Jordan. The plan was to create an independent tower company through a cash and share deal.
However, the statement added that the deal was subject to agreement on final terms, signing of definitive agreements, and obtaining all required corporate and regulatory approvals.
As per Ooredoo’s statement, the expanded tower company was planned to maintain its independence and function as a standalone entity, delivering passive infrastructure services across the region. The emphasis was on optimizing operational efficiency, seeking synergies, and reducing carbon emissions.
The joint statement further emphasized that the transaction had the potential to enhance shareholder value for both Ooredoo Group and the Kuwaiti telecom giant by establishing a more efficient capital structure.
“Both operators are committed to executing on their respective growth strategies to unlock significant capital and maximize value for shareholders while at the same time reducing the carbon footprint within the MENA region,” the joint statement said at that time.