Ooredoo, Zain and UAE-based tower firm TASC Tower Holding entered talks to combine their tower assets and create the largest tower company in the MENA region.
In a statement, the companies said in a joint statement that combined they have approximately 30,000 telecommunication towers across Qatar, Kuwait, Algeria, Tunisia, Iraq and Jordan – all of which will be managed in a new jointly owned independent tower firm, in a cash and share deal.
The next steps will involve all parties negotiating exclusively with the aim to sign a deal in Q3 this year.
Qatar-based Ooredoo and Kuwait’s Zain Group will keep their respective active infrastructure including wireless antennas, intelligent software and intellectual property to manage their networks.
The companies said the deal will create an uplift for shareholders of Ooredoo and Zain “through a more efficient capital structure."
Ooredoo’s tower footprint in Oman will follow a standalone process.
Reuters reported last year that Ooredoo was in advanced negotiations to sell off domestic and international towers. Operators globally have been divesting passive assets such as towers to fund capital-intensive coverage deployment.