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FINANCIAL NEWS
Algeria rejects MTN plan to buy Orascom unit
29 Apr 2010
(MENAFN) The Algerian government announced that it is against South African telephone company MTN Group Ltd.?s plan to buy Djezzy, the Algerian mobile-phone unit of Egypt?s Orascom Telecom Holding SAE, Bloomberg reported.
Algerian Ministry of Telecommunications said yesterday in a statement that any transaction between Orascom Telecom Algerie (OTA) and MTN over the mobile operator Djezzy is void and could lead to the withdrawal of the license.
If Orascom Telecom intends to sell the Algerian unit, it should first discuss the proposed transaction with the Algerian government, the ministry said in the statement.
In addition, the government has decided to freeze any transfer of capital out of the country by Orascom Telecom Algerie until a tax bill is paid by the company.
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