Establishment of 'Kuwait Digital Network' with capital of 33.1 million dinars
Press coverage 3 newspapers covered this event: Al-Jarida · Al-Rai · Al-Qabas →
Kuwait Digital Network company was registered with a capital of 33.1 million dinars, with Zain Kuwait Fibre Holding holding a 40% stake, and the first board of directors is responsible for the commercial registration.
Translated by Qiyas from القبس — Original source
Ibrahim Muhammad: The Official Gazette (Kuwait Today) published the establishment contract and bylaws of “Kuwait Digital Network” Company, a Kuwaiti public joint-stock company with a capital of 33.1 million dinars. The company is responsible for developing, designing, financing, constructing, operating, and maintaining fixed telecommunications networks in Kuwait, within the framework of public-private partnership projects.
The establishment contract allocated half of the company’s shares to Kuwaiti citizens and 10% to public entities, while “Kuwait Fibre Telecom Holding” subscribed to 40%. The Public-Private Partnership Projects Authority subscribed on behalf of citizens and public entities, and will call upon citizens to settle the value of their shares upon the full operational launch of the project.
According to the contract notarized on October 29, 2026, the authorized and issued capital are equal at 33.19 million dinars, distributed across 331,909,500 cash shares with a nominal value of 100 fils per share. The founders subscribed to the entire capital according to the percentages specified in the contract. Citizens’ portion amounts to 165,954,750 shares, valued at 16.5 million dinars, while public entities were allocated 33,190,950 shares valued at 3.3 million dinars. Thus, the total amount subscribed by the Public-Private Partnership Projects Authority on behalf of both parties reaches 19.9 million dinars, representing 60% of the capital. The Authority enjoys shareholder rights in these shares until they are distributed to citizens and public entities.
“Kuwait Fibre Telecom Holding’s” portion amounts to 132,763,800 shares, valued at 13.2 million dinars.
The contract stipulated ten activities the company may undertake to achieve its objectives, including installing telecommunications equipment, laying electricity and telecommunications pipes of various types, laying telecommunications cables, and installing and expanding computer and telecommunications networks. Its activities also include wired communications, telecommunications booths, and telecommunications materials, systems, and devices. The company’s scope of work extends to modern telecommunications services and providing services in this field, as well as leasing radio, television, and telecommunications equipment.
The contract permits the company to conduct these activities within and outside Kuwait, either on its own behalf or as an agent, and to participate in companies and institutions engaged in similar activities or to cooperate with them in achieving its objectives. It also allows the company to establish, acquire, or merge with such companies.
The company has established its main headquarters and legal domicile in Kuwait, with the option to transfer its headquarters to any other location within the country by a board of directors’ decision, and to open branches and agencies inside and outside Kuwait. The contract determined the company’s duration as indefinite, starting from the date of incorporation and ending upon the fulfillment of the purposes for which it was established.
The company enjoys legal personality from the date of issuance of the ministerial decree establishing it, while commencing its activities requires completing the incorporation process and obtaining approval from the relevant regulatory authorities.
The founders submit to the inaugural assembly a report detailing the incorporation procedures, expenditures incurred, and supporting documents, which must be made available to subscribers at least seven days prior to the meeting. The inaugural assembly is responsible for approving incorporation procedures, electing the first board of directors, appointing an auditor and determining their fees, and officially announcing the final establishment of the company.
The first board of directors is tasked with publishing the establishment contract and registering the company in the Commercial Register within 30 days from the date of its final establishment announcement.
