Kingdom and Batelco issue statement suggesting Zain KSA deal is still on

Kingdom Holding Company (KHC) and Bahrain Telecommunication Company (Batelco) today announced that all news surrounding the acquisition of 25 per cent of the stake of Zain Group in Zain Saudi Arabia are unsubstantiated and speculative in nature. The companies went on to say that negotiations between all concerned parties are still underway and all parties are committed to starting the due diligence process and to concluding this transaction successfully. Both KHC and Batelco will keep their respective shareholders and regulators informed of any material development.

The statement follows speculation earlier this week that the deal for the KHC/Batelco consortium to acquire the stake in Zain Saudi could run aground as a result of Batelco not being guaranteed management control of the cellco. It had been suggested Batelco would consider lowering its offer for the stake if it was not able to secure management rights, a move that could affect the entire transaction being ratified.