Etisalat offered US$2.6 billion for a 26% stake in PCTL back in 2006 in staggered payments, but has withheld US$800 million in a dispute over the transfer of assets from the government to the telecoms operator.
According to the terms of the agreement, Etisalat was due to pay US$1.4 billion within one month after the signing of the deal in early 2006 and the remaining amount of US$1.2 billion was due to be paid in equal installments over 4 and a half years, with one installment every 6 months.
The settlement reportedly agrees to a payment of US$700 million by Etisalat, which is a reduction of US$100 million based on the valuation of the assets not handed over.
Long standing plans by Etisalat to increase its holding to a controlling 51% stake have been on hold until the dispute is settled.
On the web: The Tribune
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