Zain, Kuwait's largest telecommunications operator would be selling of its Iraqi unit through an IPO. The process substantially diminishes the shareholdings over the unit but still able to maintain control as its majority owner.
In order to achieve this, Zain Iraq must offer a quarter of its shares and list itself as a publicly traded company in the Iraqi Stock Exchange in order to obtain the US$1.25 billion license. This was the same process undertaken by two other Iraqi national operators currently providing services in the country.
The deal is expected to be finalized by the end of June, as confirmed by Zain Iraq's CFO and COO, Wael Ghanayem. Should the IPO be fully subscribed, this would result in a dilution of Zain's shareholdings to just 51% from its previous 76% stake.
The sale is expected to be the largest ever IPO in Iraqi history, topping the previous high of US$1.27 billion by Asiacell.
Join the Conversation