Batelco and its consortium partners will pay SR500 million ($133.3 million) for one of the three Saudi fixed line licences approved by the Saudi telecom regulator.

The Atheeb/Batelco consortium will role out broadband internet and voice and data services on Wimax based technology at the earliest, said Batelco’s Chief Executive Peter Kaliaropoulos.
 
“Subject to satisfying a world defined approval process, outlined by CITC (Communications and Information Technology Commission) and also after receiving approval from the Council of Ministers, the Atheeb/Batelco consortium will be able to launch fixed telecommunication services,” said Kaliaropoulos.

“We plan to deploy various fixed and wireless technologies which will enable consumers and businesses to benefit from innovation and competition,” he added.

A new company will be formed with capital of SR 1 billion and Batelco will hold 15 per cent in the consortium.  Batelco and the consortium partners will hold 65 per cent with 25 per cent for a public offering and the remaining 10 per cent for GOSI (KSA) and pension fund (KSA).

“Should the consortium win spectrum it will pay SR500 million as fees,” he said.

“Batelco has been executing a strategy of regional expansion pursuing broadband and mobile opportunities in high growth markets.  This is another milestone which will allow Batelco to leverage its best in class Bahraini innovation and expertise across Mena.

“We are delighted to be in this position.  The partnership with the Atheeb group and the expertise Batelco will inject in this new company will be critical ingredients for success in the future,” said Kaliaropoulos. – TradeArabia News Service