Omantel to increase stake in fibre optic firm

State-owned Omantel plans to increase its shareholding in Oman Fiber Optic Company from 25.96 per cent to 40 per cent. The firm confirmed on Monday it had received approval from the Capital Markets Authority to make the proposed increase.

The other shareholders in the fibre optic manufacturer include Oman & Emirates Investment Holding and Omani bourse shareholders. In the first quarter of 2010 the Muscat-based firm recorded a net profit of OMR 534,000 (US$1.39 million).

Omantel is currently the only provider of fixed telecoms services in Oman, however will face stiff competition from mobile operator Nawras later this year when it launches its own portfolio of fixed services.