Vodafone to sign MOU with Saudi Telecom for Egypt unit stake sale - Egyptian government

Reuters
·1 min read
FILE PHOTO: People walk past Vodafone Egypt Telecommunications Co in the Cairo suburb of Maadi

CAIRO (Reuters) - Vodafone Group <VOD.L> is to sign a memorandum of understanding with Saudi Telecom <7010.SE> for the possible sale of a stake in Vodafone Egypt <VODE.CA>, the Egyptian cabinet said in a statement on Tuesday.

The announcement came after a visit to Egypt by Vodafone CEO Nick Read. Vodafone Group holds a 55% stake in Vodafone Egypt, with the remaining 45% held by Telecom Egypt.

Telecom Egypt said on Sunday it had no intention of selling its stake.

Neither company immediately commented on the government statement, which gave no details or valuation for a possible stake sale.

The cabinet statement quoted Read as saying the eyed stake sale came as part of the firm's strategy to exit some major markets.

(Reporting by Moamen Said Atallah; Writing by Aidan Lewis and Ulf Laessing; Editing by Chris Reese and Alex Richardson)