Global Telecom sells Djezzy stake
Egypt’s Global Telecom has sold its 51% stake in Algerian mobile operator Djezzy to the Algerian National Investment Fund for $2.6 billion.
Global Telecom and the Algerian National Investment Fund have entered into a shareholders’ agreement which will control relations between the two. The former will still hold operational control over Djezzy, and will work with parent company VimpelCom to fully consolidate it.
"We have entered into a long-term relationship with the Algerian National Fund, creating a private-public ownership structure for Djezzy,” explained Jo Lunder, CEO at VimpelCom.
“With this new ownership structure, Djezzy is positioned better than ever to lead the way in Algeria, offering customers high-quality mobile services and the best digital experience. The deal, on a group, also releases significant cash amounts to Global Telecom and VimpelCom to pay down gross debt.”
Russia’s VimpelCom resolved a long-running dispute with the Algerian government in April last year.