Etisalat failed to meet Zain due diligence deadline



Etisalat, the biggest telecommunications comapny in the UAE, missed yesterday's deadline to complete its Dh44 billion acquisition of a stake in Zain because it has not received enough information from the Kuwaiti to complete its due diligence process.

The UAE operator had until yesterday to sign a "definitive transaction" agreement with Zain shareholders that would give Etisalat a controlling stake in the Kuwaiti operator for 1.70 dinars a share.

However, that agreement was subject to completion of a due diligence process that began last October.

"The parties have not made sufficient progress towards completion of the proposed transaction in order to meet that deadline due to unforeseeable delays in Zain providing access to all relevant information which is required for Etisalat to complete its due diligence process," Etisalat said in a statement.

Etisalat said that it will continue to work towards an agreement but has not extended its deadline to sign a deal with Zain shareholders.

"The parties do continue to work towards the announcement of a definitive transaction," Etisalat said

The transaction would ultimately give Etisalat a 51 per cent controlling stake of the company worth 3.36bn Kuwaiti dinars (Dh43.68bn) and make the UAE operator the largest Middle Eastern telecoms firm with about 146 million subscribers.

Etisalat's delay in signing a deal may give more time for competing bids to develop and entice Zain shareholders.

Last week, it emerged with Cukurova Holding, a Turkish conglomerate, made a US$7.89 billion (Dh28.98bn) bid for a 29.9 per cent stake in Zain but the offer may not be legally bound as it was not posted on the Kuwait Stock Exchange.

ALL THE RESULTS

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Seo Ye-dam (KOR) bt Weronika Zygmunt (POL) by decision.

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Kaan Ofli (TUR) bt Walid Laidi (ALG) by TKO.

Lightweight

Abdulla Al Bousheiri (KUW) bt Leandro Martins (BRA) by TKO.

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Ahmad Labban (LEB) bt Sofiane Benchohra (ALG) by TKO.

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Featherweight title bout

Romando Dy (PHI) v Lee Do-gyeom (KOR) by KO round 1.

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Starring: Walton Goggins, Jason Isaacs, Natasha Rothwell

Rating: 4.5/5

What's in the deal?

Agreement aims to boost trade by £25.5bn a year in the long run, compared with £42.6bn in 2024

India will slash levies on medical devices, machinery, cosmetics, soft drinks and lamb.

India will also cut automotive tariffs to 10% under a quota from over 100% currently.

Indian employees in the UK will receive three years exemption from social security payments

India expects 99% of exports to benefit from zero duty, raising opportunities for textiles, marine products, footwear and jewellery

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What's in the deal?

Agreement aims to boost trade by £25.5bn a year in the long run, compared with a total of £42.6bn in 2024

India will slash levies on medical devices, machinery, cosmetics, soft drinks and lamb.

India will also cut automotive tariffs to 10% under a quota from over 100% currently.

Indian employees in the UK will receive three years exemption from social security payments

India expects 99% of exports to benefit from zero duty, raising opportunities for textiles, marine products, footwear and jewellery

What is Reform?

Reform is a right-wing, populist party led by Nigel Farage, a former MEP who won a seat in the House of Commons last year at his eighth attempt and a prominent figure in the campaign for the UK to leave the European Union.

It was founded in 2018 and originally called the Brexit Party.

Many of its members previously belonged to UKIP or the mainstream Conservatives.

After Brexit took place, the party focused on the reformation of British democracy.

Former Tory deputy chairman Lee Anderson became its first MP after defecting in March 2024.

The party gained support from Elon Musk, and had hoped the tech billionaire would make a £100m donation. However, Mr Musk changed his mind and called for Mr Farage to step down as leader in a row involving the US tycoon's support for far-right figurehead Tommy Robinson who is in prison for contempt of court.

MATCH INFO

West Ham United 2 (Antonio 73', Ogbonna 90 5')

Tottenham Hotspur 3 (Son 36', Moura 42', Kane 49')

ESSENTIALS

The flights 

Etihad (etihad.com) flies from Abu Dhabi to Mykonos, with a flight change to its partner airline Olympic Air in Athens. Return flights cost from Dh4,105 per person, including taxes. 

Where to stay 

The modern-art-filled Ambassador hotel (myconianambassador.gr) is 15 minutes outside Mykonos Town on a hillside 500 metres from the Platis Gialos Beach, with a bus into town every 30 minutes (a taxi costs €15 [Dh66]). The Nammos and Scorpios beach clubs are a 10- to 20-minute walk (or water-taxi ride) away. All 70 rooms have a large balcony, many with a Jacuzzi, and of the 15 suites, five have a plunge pool. There’s also a private eight-bedroom villa. Double rooms cost from €240 (Dh1,063) including breakfast, out of season, and from €595 (Dh2,636) in July/August.

Other workplace saving schemes
  • The UAE government announced a retirement savings plan for private and free zone sector employees in 2023.
  • Dubai’s savings retirement scheme for foreign employees working in the emirate’s government and public sector came into effect in 2022.
  • National Bonds unveiled a Golden Pension Scheme in 2022 to help private-sector foreign employees with their financial planning.
  • In April 2021, Hayah Insurance unveiled a workplace savings plan to help UAE employees save for their retirement.
  • Lunate, an Abu Dhabi-based investment manager, has launched a fund that will allow UAE private companies to offer employees investment returns on end-of-service benefits.

Globalization and its Discontents Revisited
Joseph E. Stiglitz
W. W. Norton & Company

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