According to those with knowledge of the subject, the proposed agreement would see Qatar Investment Authority purchasing 20% of Vodafone Egypt from Telecom Egypt Co. before the end of this year.
The QIA is the Gulf state’s sovereign wealth fund and oversees an estimated $445 billion in assets.
The individuals, who declined to be identified since the discussions are private, simply stated that the other businesses weren’t listed on the Egyptian stock exchange.
A settlement would help Egypt’s struggling economy, which is already dealing with rising food and gasoline prices as a result of Russia’s invasion of the Ukraine and a flight of foreign investors from its domestic debt.
Gulf Arab nations have already committed upwards of $20 billion in deposits and investments, and Egypt is almost certain to get much-needed IMF support.
While there was a deal to sell a majority ownership in the firm to its Johannesburg-based affiliate Vodacom Group Ltd. for $2.7 billion last year, the transaction hasn’t gone through. The UK’s Vodafone Group holds 54.9 percent of Vodafone Egypt.
The QIA, Telecom Egypt, and the national wealth fund of Egypt all declined to comment. Vodafone Egypt’s spokeswoman, Ayman Essam, stated that the company was “not formally aware of the arrangement” and declined to make any other comments.
