Wataniya board decides Qtel offer is fair

The board of directors of Kuwait’s National Mobile Telecommunications Company (Wataniya Telecom) has decided that the offer made by its majority parent Qatar Telecom (Qtel) for the acquisition of all Wataniya shares not currently owned by Qtel, at KWD2.60 (USD8.94) per share, is fair and appropriate to shareholders that are interested in accepting the offer. Qtel received regulatory approval of its Offer Document for the approximate USD2.2 billion acquisition of a 47.5% stake from the Kuwait Capital Markets Authority on 15 August. The offer period runs from 4 September to 4 October 2012. The success of the 100% takeover bid depends largely on sovereign wealth fund Kuwait Investment Authority (KIA), Wataniya’s second largest shareholder with a 23.5% stake. The USD300 billion fund has yet to indicate whether or not it will sell any shares.