UAE’s e& ends talks to raise stake in Saudi Arabia’s Mobily

The United Arab Emirates telecoms group e& said on Friday it had ended talks to raise its stake in Saudi Arabia’s Etihad Etisalat (Mobily) to 50 per cent and one share.

“Emirates Telecommunications Group Co e& has terminated discussions regarding a possible increase in its shareholding in Mobily,” e& said in a company filing on the Abu Dhabi exchange.

“Following a period of engagement, a way forward to conclude the potential transaction could not be determined. Hence, e& has now decided not to pursue the financial transaction.”

Formerly called Etisalat, e& is Mobily’s biggest shareholder with a 27.99 per cent stake. In March last year, e& made the offer to raise its stake and suggested a price of 47 riyals ($12.53) per share.

E& said it will continue to focus on supporting Mobily as its major shareholder and remains positive about the company’s future within the rapidly growing Saudi market.