Kuwait telecom Zain receives $1.3bln offer for Sudan business

Zain's board has agreed to complete the necessary due diligence on the offer to provide its initial approval

  
Image used for illustrative purpose. Zain Building.

Image used for illustrative purpose. Zain Building.

Zain

DUBAI - Kuwait-headquartered Zain said on Thursday it had received a non-binding $1.3 billion offer for the telecom group's Sudanese business from a subsidiary of Sudan's DAL Group.

Zain's board has agreed to complete due diligence on the offer from DAL Group's Invictus Holding Ltd for Zain Sudan and Kuwait Sudanese Holdings, it said in a bourse filing.

DAL, one of Sudan's largest conglomerates with companies in the food, agriculture, automotive and mining industries, is seeking to broaden its portfolio with the acquisition of one of the country's top 3 telecom providers, group director Amir Daoud Abdel Latif told Reuters.

Sudan had shown signs of emerging from a devastating economic crisis before a coup on Oct. 25 lead to a freeze of international financing that has put the prospects for recovery in question.

"We are very bullish about Sudan and the future of Sudan and we want to engage with the country on its journey to success," Latif said.

Zain said in its filing that the offer does not include its South Sudan business.

(Reporting by Alexander Cornwell and Nafisa Eltahir; editing by Jacqueline Wong and Jason Neely) ((Alexander.Cornwell@thomsonreuters.com;))


More From Equities