Omantel acquires 12.1% stake in Kuwait’s Zain

Oman Telecommunications (Omantel) has won the bid to acquire 12.1 percent of the issued share capital in Kuwait’s Mobile Telecommunications Company KSCP (Zain), it said in a statement on Sunday.

The deal makes Omantel the second largest shareholder in Zain Group with a total holding of 21.9 percent, worth $2.19 billion.

Omantel financed this transaction with a combination of long-term and bridge loan facilities, the statement said. The bridge loan facility will subsequently be taken out through long-term capital markets instruments.

The telco on Aug. 24 had acquired 425.7 million treasury shares in Zain, representing a 9.84 percent stake.

Credit Suisse acted as financial adviser and Freshfields Bruckhaus Deringer LLP as legal adviser to Omantel for the deal.

Credit Suisse and Citi are acting as bookrunners, mandated lead arrangers and original lenders for the acquisition financing.

Bank Muscat, HSBC, Standard Chartered, and Bank ABC will act as bookrunners and mandated lead arrangers.