Algeria stalls MTN deal

ALGERIA'S government yesterday repeated a demand that Egypt's Orascom Telecom consult it about a plan to sell its Algerian unit to MTN.

ALGERIA'S government yesterday repeated a demand that Egypt's Orascom Telecom consult it about a plan to sell its Algerian unit to MTN.

MTN is in talks to buy all or some of Orascom Telecom's assets, a deal worth up to R66billlion that could turn the SA firm into the world's third largest mobile operator.

But Algeria is blocking the sale of Orascom's Algerian unit.

There was still no sign yesterday of any talks to resolve the stand-off.

Analysts say that the Algerian unit, which provided 37percent of Orascom Telecom's revenues in 2009, is one of the Egyptian firm's top assets, so if the sale is blocked that could scupper the deal with MTN. - Reuters

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