Zain KSA announces developments on acquisition of towers infrastructure

Logo of Zain KSA

Mobile Telecommunication Company Saudi Arabia (Zain KSA) announced today, Sept. 8, the latest developments on the final offers received from the Public Investment Fund (PIF), Prince Saud bin Fahd and Sultan Holding Co. (SHC) to acquire its towers infrastructure.

The telecom operator received on Sept. 7 two no-objection letters from the Communications and Information Technology Commission (CITC), according to a statement to Tadawul.

CITC green lighted Zain KSA to sign the shareholders agreement with PIF, Prince Saud bin Fahd bin Abdulaziz, and SHC regarding Zain Business Limited Co.

The Tadawul-listed telco was also approved by CITC to sign the asset purchase agreement with Zain Business Limited Co.

Zain KSA stated that it will work with all the parties to complete the licensees and signing of the transaction agreements. However, the final offers are subject to obtaining the required approvals from the relevant official authorities and any other conditions agreed by the parties.

In February, the telco’s board of directors approved the final offers received from the PIF, Prince Saud bin Fahd, and SHC after completing the due diligence and internal approvals of all parties, Argaam earlier reported.

The final offers were submitted to acquire stakes in Zain KSA’s towers infrastructure, comprising 8,069 towers, valuing these assets at SAR 3.026 billion.

According to the final offer, the Kingdom’s sovereign wealth fund, Prince Saud bin Fahd, and SHC will acquire 60%, 10%, and 10% stakes in the towers infrastructure, respectively. On the other hand, Zain KSA will own the remaining 20% stake.

In May, Zain KSA said the CITC approved the acquisition of 8,069 towers by the telecom operator’s subsidiary, Zain Business Co.

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