Telecom Egypt 9M results show net profit up 12%; Lacom sale talks continue

16 Nov 2007

Telecom Egypt (TE) has reported a 12.3% rise in net profit for the first nine months of 2007 to EGP1.7 billion (USD310 million), in line with analysts’ expectations. Total revenue reached EGP7.5 billion, a 7.8% increase over the same period in 2006, the company said in a statement. It said the total number of fixed-line subscribers rose 3% to 11.03 million.

In an interview with Reuters, TE Chairman Akil Beshir said his company and Orascom Telecom were in negotiations to sell Algerian fixed line operator Lacom, with the sale expected to be concluded in ‘two to three weeks.’ He did not identify the purchaser. Lacom, a 50/50 joint venture between the two Egyptian companies, acquired a licence from the Algerian government in 2005 to become the country’s first alternative fixed line provider.

Egypt, Lacom, Telecom Egypt