Cairo – Mubasher: The Egyptian Exchange (EGX) has suspended trading on Global Telecom Holding’s (GTH) stock as of Sunday, 10 February, in response to the Financial Regulatory Authority’s (FRA) request.
Trading on the stock will be halted until the FRA releases a statement regarding the matter, the EGX said in a statement.
Last week, the Netherlands-based Veon Holdings B.V revealed it was looking to present a mandatory tender offer to purchase a 42.31% stake in GTH.
The Dutch company plans to purchase up to 1.99 billion shares in GTH at EGP 5.3 per share.
In January, GTH announced that its board of directors postponed its planned ordinary general meeting (OGM) related to an EGP 11.2 billion proposed rights issue to 27 March as a result of receiving a letter of support from the Dutch company.
The letter, requested by GTH, highlights “the option of taking GTH private to support its immediate funding requirements related to the servicing of certain debt obligations and an interest payment to external bondholders.”
In April, GTH disclosed that the Amsterdam-based VEON Ltd, its main shareholder, notified the FRA that it had withdrawn its mandatory offer to buy the remaining stake in the telecommunications company, explaining that time passed without getting any approvals.