'Zain' and 'Ooredoo' launch regional tower platform with first closing in Qatar and Kuwait
Completion of the first closing for a joint Zain and Ooredoo tower platform comprising 4,000 towers
Translated by Qiyas from السياسة — Original source
Merger of Zain Kuwait’s “ITK” and Ooredoo Qatar’s “Towers” portfolios
Al-Kharafi: The first closing of the deal is a pivotal step in the evolution of the digital infrastructure of the two companies
Our joint strategy to create specialized platforms supporting efforts to reduce the carbon footprint in the region
Zain and Ooredoo each hold a 50% stake in the regional Towers platform, which includes 4,000 towers
The platform will enhance capital efficiency, support the development of digital infrastructure, and reduce the carbon footprint
Zain Group, the mobile telecommunications company, and Ooredoo announced yesterday the completion of the first closing of the deal paving the way for the launch of their joint regional Towers platform.
The two companies stated in a press release that this closing brings together the tower assets of Zain Kuwait (“ITK”) and Ooredoo Qatar (“Towers”) under a unified regional towers platform, equally owned by the two groups (50% each). These assets include approximately 4,000 telecommunications towers.
The statement revealed that the deal is expected to create significant added value through increased economies of scale, improved capital efficiency, and the adoption of a dedicated operational model based on passive infrastructure. As its operations expand, the Towers platform will support the provision of “Infrastructure-as-a-Service,” enabling telecommunications operators to access infrastructure with higher capital efficiency and supporting the continuous development of digital infrastructure in the region’s markets.
Additional tower portfolios are expected to be gradually integrated into the platform, in accordance with applicable closing conditions and after obtaining regulatory and other required approvals.
A pivotal step
Bader Nasser Al-Kharafi, Vice Chairman and CEO of Zain Group, said, “The first closing of the Towers platform deal represents a pivotal step in the evolution of the digital infrastructure of the two companies. This step reflects our joint strategy to create specialized, sustainable, and scalable platforms that deliver greater value from our assets and support efforts to reduce the carbon footprint in the region.”
He affirmed, “We are confident that the Towers platform will play an increasingly important role in solidifying the digital foundations of both companies and enabling the next generation of connectivity services, innovation, and economic growth for the communities we are proud to serve.”
Al-Kharafi added, “We extend our sincere thanks to the regulatory authorities in the State of Kuwait for their support and wise vision throughout the stages of approving this deal.”
Added value
For his part, Aziz Al-Othman Al-Farooq, CEO of Ooredoo Group, said, “The completion of the first phase of closing marks a highly significant milestone in the journey of building a regional Towers platform designed to create substantial added value, with a clear path for expansion through additional contributions from other markets.” He added, “With this achievement, we move forward in implementing our plans across the various digital infrastructure sectors outlined in our strategy, as we continue to build a leading regional portfolio.” He further stated, “We extend our sincere thanks to the Telecommunications Regulatory Authority and the Ministry of Municipality in the State of Qatar for their support and contribution in providing a stimulating regulatory environment throughout the approval and consent process.”
It is worth noting that both Zain and Ooredoo will retain their active infrastructure, including technical equipment, software, and intellectual property rights necessary for operating and managing their respective telecommunications networks.
