Zain okays 125 percent capital increase to support expansion

Mergers, Acquisitions and Financial Results

Shareholders in Zain (Kuwait's Mobile Telecommunications) gave their approval to a 125 percent increase in the group's capital to fund future global expansion.

Zain will raise about 1.2 billion dinars (4.4 billion dollars) by selling 1.42 billion shares to its current shareholders at 0.85 dinars (3.1 dollars) per share.

Chairman Asaad al-Banwan said the funds will assist the group in its "future acquisitions" on the basis of a plan set by the board of directors. He said the sale of shares will take place in May.

CEO Saad al-Barrak said the company is also exploring several investment opportunities in Syria, Turkey and Yemen, in addition to Africa where the company already operates in 15 countries.

"Our ambition is to become one of the top 10 global telecom companies by 2011," he said.

Turkish Press