UAE network operator Etisalat will today (Tuesday) offer US$6 billion to buy shares in Morocco’s Maroc Telecom, planning to fund the deal externally.
French media group Vivendi is offering its share in the telecommunication company in an attempt to counter debts.
HumanIPO reported last week on the planned bid from Qatari telecom Ooredoo, joining the competition to gain the 53 per cent stake of Vivendi in Maroc.
While no finer details have been released as of yet, Etisalat revealed its plans for external funding, with an US$8 billion dual-tranche loan in the pipeline.
Financial resources from both national and international banks will be drawn upon if the stake is granted.
The possibility of buying a larger share than that currently offered by Vivendi is also on the table since bid success will be followed by an obligated mandatory offer to the telecom’s remaining shareholders, Reuters reported.
“Etisalat’s binding offer takes into consideration the outcomes of the due diligence exercise that was recently completed and will be binding until the end of the second business day following the approval of Etisalat’s extraordinary general meeting,” the company said in a statement.
The operator is currently awaiting government approval, as Maroc is 30 per cent owned by the Moroccan state.
Etisalat has also recently signed a deal with Chinese mobile enterprise Huawei for network quality improvement and radio base station technology acquisition.
