CAIRO: The Egyptian Exchange (EGX) suspended trading on the stocks of Orascom Telecom Media and Technology (OTMT), and the Egyptian Company for Mobile Services (ECMS), operating under the Mobinil brand for 30 minutes after the stocks breached 5 percent.
The action followed OTMT’s announcement that it reached an agreement to sell its stake in the Egyptian Company for Mobile Services (ECMS), to the French company Orange in return for 209.6 million euros ($233 million.)
Under the agreement between Orange and OTMT, which is owned by Egypt’s business tycoon Naguib Sawiris, Orange will purchase all the shares and voting rights held directly or indirectly by OTMT in the ECMS, according to a Monday statement from OTMT.
“This transaction will be completed through the exercise of Orange’s call option under the shareholders agreement signed by the two parties in April 2012. The parties expect that the transaction will be finalized by the end of Q1 2015,” OTMT stated.
OTMT’s direct and indirect interests in ECMS will be transferred to Orange for a total price of 209.6
The transaction will increase Orange’s stake in ECMS from around 94 percent to roughly 99 percent of the capital.