Zain announced its group consolidated financial results for the twelve months ending December 31, 2010, which showed growth in several key performance indicators, with a consolidated net profit of USD3.675 billion. This figure is inclusive of the capital gain of KWD 770.3 million (US$2.653 billion) from the sale of Zain Africa assets on June 8, 2010.

If the capital gain from the Africa assets sale is not taken in account, net income reached KWD 293 million for the year, representing a notable 50 per cent increase on 2009 net income of KWD 195 million.

For the 12 months of 2010, Zain Group recorded consolidated revenues of KWD 1.35 billion, an increase of seven per cent year-on-year. The company’s consolidated EBITDA increased by six per cent for the same period to reach KWD 616 million, reflecting an EBITDA margin of 46 per cent.

The board of directors have recommended a cash dividend of 200 fils per share.

Year-on-year customer growth across all the Middle East countries in which Zain operates was 23 per cent, whereby the company served 37.24 million managed active customers as of December 31, 2010. Zain Group added seven million new active customers over during 2010.

Russian WiMAX operator Yota has announced a plan to deploy a US$2 billion LTE network covering 180 cities with a total population of more than 70 million citizens by 2014.

The network will then be offered on a virtual operator basis to four of the country’s main mobile network operators – Beeline, Megafon, MTS and Rostelekom.

The four networks have also been granted options to buy 20 per cent stakes in Yota once the network is completed in 2014.

State entity Russian Technologies, which currently owns 25.1 per cent in Yota has supported the agreement.

"This deal is an endorsement of our vision for the future of the telecom industry. We firmly believe in the separation of network ownership and service provision and believe that this ground-breaking agreement will drive innovation and benefit Russian consumers, commented Yota CEO Dennis Sverdlov, in a statement.

Yota currently operates networks in Russia, Belarus and Nicaragua and expects to launch in Peru shortly.

Du has reported adding 250,000 net new customers during the fourth quarter of 2010, while its revenues surged 34 per cent to AED 2.1 billion (US$571 million) in the period compared to the previous year. Net profit after royalty amounted to AED 912 million, which included the effect of the recent UAE government announcement, concerning the 15 per cent royalty rate.

Du also reported a 38 per cent growth in its fixed line customer base from 405,900 lines in Q409 to 561,000 lines in Q410, with 45,500 lines added during the quarter.

Full year revenues for 2010 grew 32 per cent to AED 7.1 billion, largely as a result of the growth in Du’s mobile market share over the past twelve months, which has now reached around 40 per cent.

The company also finished the year free cash flow positive for the first time since its foundation.

Kuwait’s National Investments Co. (NIC), a company owned by Kharafi Group, a major shareholder in mobile operator Zain said today that the planned deal by Etisalat to acquire a 46 per cent stake in the Kuwaiti telco is no longer in force after the end-February deadline for Etisalat to complete due diligence expired.

"Due to the expiration of the deadline given to Etisalat, for the completion of its due diligence of Zain, which was set by the end of February, we declare an end to our commitment towards Etisalat for the sale of a 46 per cent stake of Zain,” read a statement on the Kuwaiti bourse website. NIC represents Kharafi in the planned stake sale to Etisalat.

Lebanese mobile operator, Alfa has signed a network expansion contract with Ericsson for the deployment of a 3G network in the country.

Under the contract, Ericsson will be responsible for the upgrade and modernisation of the current Alfa mobile network to 3G HSPA+ across the country.

Alfa is managed by Orascom Telecom and owned by the government. Earlier this month, Orascom signed a one-year extension to its ongoing management contract, extending it to February 1, 2012.