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Pin to quick picksVodafone Share News (VOD)

Share Price Information for Vodafone (VOD)

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Share Price: 69.08
Bid: 69.28
Ask: 69.30
Change: 0.08 (0.12%)
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UPDATE 2-Mobile licence offered to Telecom Egypt for $360 mln -ministry

Wed, 02nd Apr 2014 13:01

* Unified licence offered to all telcom companies

* Telecom Egypt to sell stake in Vodafon Eg -min

* 4G auction in June 2016 -telcom regulator (Adds comments from telecoms regulator)

CAIRO, April 2 (Reuters) - Fixed line monopoly operatorTelecom Egypt has been asked to pay 2.5 billionEgyptian pounds ($360 million) for the mobile licence it wants,the country's telecommunications minister Atef Helmy said atnews conference on Wednesday.

The country's three existing mobile phone service providersare Vodafone Egypt , Mobinil andEtisalat Egypt but with Egyptians increasingly using mobilephones and the Internet instead of making fixed line phone callsTelecom Egypt has been relying on its data traffic for revenuegrowth.

It already has a joint venture with Vodafone but has beenwaiting to launch a separate mobile operation.

"All measures related to the unified licence will befinished by June 30," Helmy said, referring to the new form oflicence which will cover both mobile and fixed line services.

A licence for companies currently running mobile serviceswhich gives them access to Telecom Egypt's fixed line network ispriced at 100 million pounds, Helmy said.

Details of the new licence have been sent to the telecoms companies, he added.

4G AUCTION IN 2016

The unified licence will not include any new frequencies forTelecom Egypt, such as 4G mobile broadband services, Helmy said.

The head of telecoms regulator Hesham El Alaily said an auction of radio spectrum for 4G services would be held in June2016.

Until then Telecom Egypt would offer mobile services throughthe other companies' networks. He added the new unified licencemeans that no company would have a monopoly on a service.

The grant of the new unified licence requires a singlepayment plus an annual fee, Alaily told Reuters. He did not giveany details on the annual fees.

TELECOM EGYPT TO SELL VODAFONE STAKE

Meanwhile Telecom Egypt has been given a one-year deadlineto sell its near 45 percent stake in Vodafone Egypt, Helmy said.

Egypt's government owns around 80 percent of Telecom Egypt,according to Thomson Reuters data.

Shares in Telecom Egypt last traded up 1.8 percent at 17.27pounds at 1231 GMT, while Mobinil shares were down 0.33 percentat 119.50 pounds. ($1=6.9673 Egyptian pounds) (Reporting By Ehab Farouk; Writing by Shadia Nasralla; Editingby Greg Mahlich)

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