Ooredoo, a Middle East based international provider of telecommunications and digital infrastructure, and Zain, a telecommunications and integrated digital services provider, have announced the first closing of their regional tower transaction, bringing together the initial tower portfolios within a regional tower platform jointly owned by Ooredoo Group and Zain Group, each holding a 50 percent stake.
In a press release, the companies said, the first closing combines the tower assets of Ooredoo Qatar (Al Abraj) and Zain Kuwait (ITK) within the platform. Together, these portfolios comprise approximately 4,000 towers.
As it expands, the tower platform aims to support the delivery of infrastructure-as-a-service, creating opportunities for operators to access infrastructure in a more capital-efficient manner while supporting the continued development of the region’s digital infrastructure.
“Completing this first closing marks an important milestone in building a regional tower platform designed to create significant value, with a clear path to expansion through additional market contributions,” said Aziz Aluthman Fakhroo, Group CEO, Ooredoo Group. “We thank the State of Qatar’s Communications Regulatory Authority and the Ministry of Municipality for their support and for contributing to a conducive regulatory environment throughout the approval process.”
Bader Al-Kharafi, Vice-Chairman & Group CEO, Zain, said, “We believe this tower platform will play an increasingly important role in strengthening our respective digital foundations and enabling the next wave of connectivity, innovation and economic growth for the communities we proudly serve. We thank the regulatory authorities in Kuwait for their visionary support in the approval process.”
Ooredoo and Zain will retain their respective active telecommunications infrastructure, including the technology, software and intellectual property required to operate and manage their telecommunications networks. The companies also expect additional tower portfolios to be integrated progressively into the platform, subject to applicable closing conditions and required regulatory and other approvals.