The proposed investment will be mainly used to support the investment program of the company throughout 2019, including the expansion of the 3G network and enhancement of capacity and quality of the 3G network, which is the only means to access to broadband for many of the Iraq population. The roll-out program will partially involve transformation of existing 2G sites to 3G by installing radio equipment on existing towers, development of new rooftop sites and greenfield tower sites, network and power modernization through software investments and license applications. The company is also considering expanding its fiber-optic network installation.
The total project cost is US$ 348 million to be funded with IFC syndicated facility of US$300 million and internal cash generation of US$ 48 million.
The proposed investment of up to US$300 million consists of an IFC A Loan of up to US$100 million, a loan of up to US$75 million from the Managed Co-Lending Portfolio Program (“MCPP”), and B/parallel loans of up to US$125 million.
Zain Iraq is 76% owned by Mobile Telecommunications Company K.S.C. of Kuwait (“Zain Group” or the “Group”). The remaining shares in Zain Iraq (24%) are owned by Mr. M. AlCharchafji, an Iraqi national and one of the founding shareholders.
Zain Group is a Kuwait based telecommunications group, with operations in 9 countries in Middle East and Africa. The Group owns majority stake in the businesses in Kuwait (100%), Iraq (76%), Sudan & South Sudan (100%), Jordan (96%), Bahrain (55%), minority stakes in Saudi Arabia and Morocco and has a management contract in Lebanon. Zain Group is listed on the Kuwait Stock Exchange. Kuwait Investment Authority (“KIA”) owns 24.6%, Omantel Telecommunications recently acquired 21.9% and the remaining 53.5% shares are owned by public shareholders. KIA is a sovereign wealth fund of Kuwait.
ATHEER TELECOM IRAQ LIMITED
CHIEF FINANCIAL OFFICER
+964 780 296 9854
Bldg. 47, Str. 14,District 605 Hay Al Mutanabi, Al Mansoor, Baghdad, Iraq
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