Zain hopes to raise USD4.5 billion

The Kuwait-based Middle East and African cellular group Mobile Telecommunications Co (MTC), which operates under the name Zain, is expecting to raise USD4.5 billion via a capital increase. Existing shareholders are being offered the opportunity to buy new shares up to 75% of the value that they owned at the time of the company’s last General Assembly Meeting, on 10 March 2008. The shares are priced at KWD0.850 (USD3.20) each which includes an issuance premium of KWD0.750. The additional capital will be used by Zain to meet financial commitments and to fund future expansion.