Egypt's Orascom Telecom and France Telecom have continued their acrimonious public battle over the control of Egyptian moble network operator, MobiNil. This morning, Orascom Telecom Holding (OTH) announced that France Telecom has failed to pay the purchase price as required by the terms of the arbitral award issued by the International Court of Arbitration of the International Chamber of Commerce and has failed to comply with its obligations under Egyptian law to make a public tender offer on the same terms as the Award.
OTH says that it has provided FT with documentary evidence from its banks, which confirms that the shares can be transferred free of pledge.
Although the transfer of shares was due to occur by 9th April, an extension until 15th April has been agreed upon to avoid financial penalties and resolve difficulties with the stock exchange.
Orascom says that it has now been asked by Egypt's Capital Market Authority "CMA" to refrain from making any further public comments on the dispute.