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FINANCIAL NEWS
Raya abandons race for Egypt telecom license
30 Mar 2010
(MENAFN) Raya Technology and Communication announced that it is no longer interested in bidding for two licences to supply cable, voice and Internet services to residential compounds, al-Mal newspaper reported.
Egypt’s National Telecommunication Regulatory Authority announced in September it was offering two such licenses to serve Egypt’s rapidly growing residential compounds in suburbs and satellite cities.
Raya’s Chairman said that the company would not make sufficient profit from the license because of the tough conditions the regulatory authority put on them.
Analysts say the licences are restricted both in geographical scope and the range of services, leaving Telecom Egypt’s fixed-line monopoly largely intact.
Egypt expects the successful bidders to invest $1 billion over five years. The bids were initially due in January, but the deadline was delayed to April 15 at the request of some bidders.
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