Egypt News

Telecom Egypt

A spokesman for Telecom Egypt declined to comment on reports another executive had also resigned and it was eyeing LinkDotNet, an internet service provider owned by Orascom Telecom .

Telecom Egypt chairman and chief executive officer Akil Beshir had expressed interest in acquiring the provider but a decision to make an offer would be dependent on the approval of his board, according to Al Mal financial daily

Telecom Egypt has around 59 percent of the market for internet services in Egypt via its TE Data operation. Acquiring LinkDotNet would give it a 90 percent share, al Mal said.

Orascom Telecom said in February it was studying an offer from Mobinil , Egypt's largest mobile operator by subscribers, to buy LinkDotNet and another internet subsidiary.

Orascom Telecom owns a roughly 35 percent stake in Mobinil but is locked in an ownership dispute with the other main shareholder, France Telecom .

"With the disagreement between Mobinil and Orascom Telecom they decided to postpone this issue until they reach some sort of resolution," Beltone analyst Shrouk Diab said.

"(Telecom Egypt) already have TE Data, I don't know why they would want to acquire LinkDotNet," she said, adding: "I don't see where the value addition for Telecom Egypt is."

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