The Establishing Committee responsible for the public auction of a 26% share in Kuwait’s third mobile telecommunications operator today conducted the financial bid opening process. The financial bids of all the 9 bidders were opened in a public bid presentation attended by representatives of all the bidders. Saudi Telecom was announced as the winning bidder, after submitting the highest bid of KD 248.7 Million. Kuwait Finance House submitted the second highest bid of KD 195.13 Million and Etisalat submitted the third highest bid of KD 180 Million.
Following Saudi Telecom’s successful bid, the Establishing Committee will present Saudi Telecom as the winning bidder to the Council of Ministers to get their approval. Once the Council of Ministers issues its approval, Saudi Telecom will be will become the strategic partner in the third telecommunications operator and will own the 26% share after the payment of the amount that it has bid and signing of the incorporation documents.
The Government of Kuwait will hold a 24% share in the third operator, while the remaining 50% will be sold through an initial IPO.
According to the Establishing Committee; “This is an important development for Kuwait’s telecom sector. Saudi Telecom will bring its regional expertise to start the operations of the third telecommunications operator in Kuwait, ensuring that its entry to the sector will be both profitable and successful.”
