Kuwaiti bourse holding 12.1% Zain stake auction on 12 Nov; Omantel expected recipient

Boursa Kuwait has confirmed it will hold a formal block trade auction for 12.1% of Zain Group’s shares on 12 November, with a starting price of KWD0.781 (USD2.6) per share. News source Zawya reported that the market authority has invited all interested parties to submit funds totalling 10% of the total amount (KWD407.6 million) as insurance. As previously reported by TeleGeography’s CommsUpdate, earlier this month Oman Telecommunications Company (Omantel) signed purchase agreements with three of Zain’s shareholders – Al Khair National for Stocks & Real Estate Company, Kuwaiti British Readymix Company and Gulf National Holding Company – to give the Omani telco an additional 12.1% stake and take its total holding to 21.9%. Once the transaction has been completed via the block trade auction process as per Boursa Kuwait rules, the Board of Directors of Zain is expected to be reconstituted.