Tuesday, June 4, 2013

Altimo lays down arms as offer for Orascom Telecom fails

orascom2Russian billionaire Mikhail Fridman’s Altimo declared that he had no further plans for giving out a new offer to buy minority shares in Orascom Telecom as Egypt’s regulator had once rejected the company’s attempt to reopen tender.
51.9 percent of shares of Orascom are owned by VimpelCom, which, in turn is 47.85 percent owned by Altimo. Orascom has mobile businesses in Canada, Pakistan, Algeria and Bangladesh.
Altimo had offered to buy out minority shareholders of Orascom in a deal estimated to be $1.8 billion but the minority shareholders did not accept the deal within the deadline. Only 15.9 percent of the minority shareholders had accepted to sell whereas 26.6 percent are required to close the deal.
Following the refusal of most of the minority shareholder, Altimo asked the Egyptian Financial Supervisory Authority (EFSA) to put aside the 26.6 percent requirement but EFSA rejected their request.

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