Eng. Medhat Khalil, Chairman and CEO of  Raya Holding, has pinpointed the key obstacles to making investments in the African continent as lack of security, political instability and the inflexibility of some certain economic regulations. In an interview with 'Amwal Al Ghad', Khalil explained that from an investment point of view, the African continent is a major, promising market, but it needs to overcome these three key obstacles if Africa is going to make the most of its investment potential. In fact, certain African markets, notably Zambia and Guinea, have great investment opportunities, Khalil noted.  The CEO of Raya Holding has tackled other obstacles in the way of making investments in certain markets in Africa, notably Algeria and Nigeria. In Algeria, Khalil said that Raya’s branch has posted losses of around EGP 50 million, due to the tough financial regulations and the intransigency of certain entities in the country. As for Nigeria, Khalil noted that the country is one of the most attractive markets, but it is suffering from a growing state of insecurity.  Moreover, he added that the markets of Central and East Africa are currently the most lively, notably Zambia and Guinea. Despite the small size of both countries, they enjoy many opportunities, particularly in the fields of agricultural expansion and power stations. Khalil pointed out that Raya currently has branches in a number of African markets such Ethiopia, Nigeria and Libya. In Ethiopia, Raya has signed a contract with the United Nations for a project to offer networking and infrastructure services in the country. For Nigeria, Raya has its subsidiary Raya Holding Nigeria, working in the field of trade. In Libya, Khalil said that Raya has recently signed a contract with one of its Libyan partners to establish a branch in the country for technical support operations. The new branch in Libya will start with modest investments ranging between EGP 3 million and EGP 4 million, as Raya is waiting for the current situation in the Libyan market to get better, he stressed.  Furthermore, Khalil stated that Raya is still assessing the Ethiopian market, in preparation for finding further investment opportunities in the country, bearing in mind the obstacles and developing methods to overcome them.  As for Raya’s investment strategy, Khalil said the company targets increasing its volume of business to exceed EGP 2.5 billion within the coming year, by implementing its expansion plans and creating a strong presence in Saudi and GCC markets in the field of information technology. Raya’s expansion plans in the GCC markets come in the wake of the IT sector’s weak performance in the Egyptian market, in which the projects are based on cooperation with the public sector, he added. Khalil also said that Raya is currently present in some of the GCC markets such as Qatar and Abu Dhabi, entering into partnerships with some locally based firms. More»

Telecoms revenue in the Middle East and North Africa (MENA) region is expected to grow by 27 percent, at a compound annual growth rate (CAGR) of 5 percent, over the next five years to hit $96.4 billion in 2017 from $70.3 billion in 2011, Analysys Mason said in its report “The Middle East and North Africa Telecoms Market: Trends and Forecasts 2012–2017”. The fastest growth area during the forecast period will be mobile data services, with handset data revenue set to grow at a CAGR of 17.9 percent between 2012 and 2017, the report said. However, growth rates in subscriber numbers will continue to decline, as will mobile voice prices, it added. The penetration rates of active SIMs in Morocco, Saudi Arabia and the UAE already exceed 100 percent of the population, and will surpass 100 percent in Algeria in 2012 and Egypt in 2014. More»

Mobile Telecommunication Company Saudi Arabia “Zain KSA”, operator of the leading real LTE/ 4G network in the Kingdom of Saudi Arabia, reveals that it has activated several services and aspects of the strategic partner market agreement the company has recently signed with Vodafone, the world’s largest mobile telecommunications operator by revenue. The agreement is set to enhance Zain KSA’s communication solutions portfolio and benefit its customers across all sectors, especially in the business sector. This comes after the two entities held several meetings and workshops that addressed the exchange of expertise across the various aspects set out in the partnership. According to this agreement, Zain KSA’s business sector joins Vodafone Global Enterprise (VGE), a leading provider of business services serving over 1,400 multinational companies around the world. While serving as a single point of contact, VGE offers its customers communication solutions, communications expenditure tracking and procurement services. This helps save over 15 percent of the global business sector’s expenses, making Vodafone their preferred operator. The move will enhance both Zain KSA and Vodafone’s ability to meet growing demand among multinational businesses based in the Saudi market, whose accounts are managed by Vodafone in international markets. More»

Algeria has decided to hire French law office so as to defend its interests in regard to the lawsuit lodged by Chairman of Weather Investments Naguib Sawiris. Sawiris had launched $5 billion claim against the Algerian government for allegedly inflicting damages to stakes Weather owned in the Egyptian Orascom Telecom Algerie (OTA), most popularly known as Djezzy. 'The Algerian Government committed to a number of protections, including a promise to refrain from arbitrary interference in our operations, but has since 2008 pursued a campaign of interference and harassment which has cost Weather Investments over $5 billion in damages,' Sawiris said in a statement. According to Al-Khabar Algerian newspaper, the International Center for the Settlement of Investment Disputes (ICSID) - a resolution branch of the World Bank based in the United States – had registered Weather Investment’s complaint against the Algerian government on November 15th; it shall be heard in the court within the coming year. This comes after the Algerian Finance Minister Karim Djoudi claimed that Sawiris’ complaint was filed about a year ago. After Sawiris had announced the $5 billion claim, Djoudi told reporters in parliament that Egyptian tycoon went to international arbitration a year ago and “this is not new.” He said discussions on Djezzy were ongoing. Algeria’s government is in talks to buy the 51 percent stake in Djezzy held by Russian telecommunications company VimpelCom Ltd. (VIP), which became the world’s sixth-largest wireless operator by subscribers after merging with Sawiris’s Orascom Telecom Holding (ORTE.CA) in 2011. VimpelCom has been in dispute with the Algerian government over the unit for more than year. More»

Microsoft has revealed it will charge $899 (£560) for the basic version of its Surface with Windows Pro tablet. The device will be released in January and features an Intel chip allowing it to run the full version of the Windows 8 operating system. The price is $400 more than the existing Surface with Windows RT tablet, which is less powerful and does not run programs such as Photoshop. The devices are intended to challenge the iPad and Android-based tablets. Faster, heavier Microsoft's chief executive, Steve Ballmer, told shareholders this week that the fact his firm was releasing its tablets more than two years later than Apple might have contributed to its share price being outpaced by its rival. "Maybe we should have done that earlier," he said. He had earlier suggested that he was certain sales of the original Surface would grow. "We've had a modest start because Surface is only available on our online retail sites and a few Microsoft stores in the United States," he told French newspaper Le Parisien. Both versions of the Surface can be operated as a 10.6in (26.9cm) touchscreen tablet, or snapped into one of the firm's keyboards to mimic the functionality of a notebook computer. The Windows RT version - which is powered by an ARM-based chip from Nvidia - is expected to offer longer battery life, but can only run the limited number of third-party programs available from Microsoft's own online store. The Windows Pro version avoids this restriction but is heavier in part because it features a higher capacity battery to run its more power-hungry processor. It will be offered with 64GB of storage for $899 or 128GB of storage for $999. Neither price includes one of Microsoft's keyboards, which add at least another $99. One industry watcher noted that the new computer would face more competition due to the fact more Window 8-powered computers have been announced than Windows RT ones by other manufacturers. "The Intel-based version of Windows 8 is far more attractive to the market than the Windows RT version as consumers today can't ignore the fact that they may just be a version of a program that they want to run built on the old architecture which the ARM-based version doesn't support," Ken Dulaney, a mobile technology analyst at consultants Gartner, told the BBC. More»

Telecom Italia will not bid for Vivendi's GVT subsidiary in Brazil as it prepares to reject an offer of a capital increase from Egyptian tycoon Naguib Sawiris, Il Sole 24 Ore newspaper said on Wednesday. "Telecom (Italia) has given up the idea of presenting a non-binding offer (for GVT)," the newspaper said without citing sources. The paper said it appeared that the deadline for preliminary non-binding offers for GVT had passed and a total of four had been made, all below 6 billion euros and none from telephone operators. Sources have told Reuters that Vivendi is seeking at least 7 billion euros for GVT and that Telecom Italia is one of four companies that have obtained documents on the Brazilian telecoms company. The deadline for preliminary non-binding bids is around the end of the year, the sources said. On Tuesday Sawiris told Reuters that he proposed to take a stake in Italia Telecom through a cash infusion of 3 billion euros, which would be open to all shareholders and should be conducted around the current market price of 0.70 euros per share. That price is well below the 1.50 euros per share level at which core shareholders have the stock on their books. Telecom Italia was not immediately available for comment on Wednesday about whether it is preparing to reject Sawiris's offer. Telecom Italia has been considering whether to bid for GVT, a broadband specialist in Brazil, to bolster its TIM Participacoes mobile business there, a major source of growth in recent years. More»

Orascom Telecom Holding (OTH) (ORTE.CA) announced that it has named Ziad Shatara as the new CEO of its unit Banglalink, effective as of 01/01/2013. Shatara will be supervised by Orascom Telecom Chief Executive Ahmed Abou Doma. Orascom Telecom, the parent company of Banglalink, is a subsidiary of VimpelCom that is the world's sixth largest telecom group with more than 21.2 core subscribers worldwide. Shatara with a vast experience in data business at Wind telecom in Italy will take charges of Banglalink in January, Jo Lunder, chief executive officer of VimpelCom said during  a press conference held late Tuesday More»

In an effort to boost local industry, Etisalat Egypt and the Arab Company for the Manufacture of Computers have inked a new partnership deal to make the first locally develped tablet computer. According to Etisalat and the subsidiary of the Kharafi Group, the device “will be offered at a consumer-friendly price throughout Etisalat outlets, with special Internet offers available.” With the Internet penetration in Egypt growing dramatically, and the ministry of communications reporting that smartphone use has grown to nearly 35 percent in the country, there is an urgent need for a locally developed tablet that is competitively priced. Etisalat Egypt CEO Saeel Al Hamli said he “was proud of the partnership with the Kharafi Group, which would inject confidence into the economy.” He added that “the tablet is a replacement option for textbooks for primary and secondary schools.” Egypt’s Minister of Industry and Foreign Trade Hatem Saleh added that the partnership “could help Egypt move to a new stage of innovative and unconventional thinking.” More»

Egyptian entrepreneur Naguib Sawiris aims to shake up debt-laden Telecom Italia and steer it towards expansion in Brazil if shareholders warm up to his proposal for a 3 billion euro ($3.9 billion) cash infusion. The billionaire tycoon, who got to know Italy well when he owned the third-biggest mobile operator Wind, has put on the table a capital increase that could make him one of the biggest shareholders in Telecom Italia. Details on the structure of the proposed transaction are scarce, but Sawiris told Reuters that he proposed that the capital increase be open to all shareholders, not just himself, and that it should be conducted around the current market price of 0.70 euros per share. That is likely to draw the ire of other Telecom Italia shareholders, including Spain's Telefonica and the three Italian financial institutions who together own 22.4 percent via an unlisted holding company called Telco. They value Telecom Italia at 1.50 euros per share in their accounts, and Marco Fossati, whose family's Findim Group SA owns 5 percent of the Italian operator, on Monday said 1.50 was the "correct price" for any capital increase. Sawiris, going against a trend of retreating investment in crisis-hit southern Europe, said he might also bring in some of his old Wind associates to put Telecom Italia back on the path to growth. "This proposal will provide a more stable financial structure for Telecom Italia going forward, more growth in Latin America and Brazil, and improved management through the infusion of people who have an excellent knowledge of the Italian market," Sawiris told Reuters. Sawiris initially approached Telefonica and the other shareholders in Telco about the possibility of carrying out a capital increase at the holding company level. He was rebuffed, so decided to approach the Italian group directly. "We are willing to participate in the capital increase, but shareholders have the choice not to get diluted and join in putting the money," he said. "If they do not want to, we will come and replace them. But they will benefit from a higher stock price and a more stable company and a company that will grow." It remains to be seen whether his vision for the group will be shared by Telecom Italia's management and core shareholders. Telefonica, insurer Assicurazioni Generali, and banks Mediobanca and Intesa Sanpaolo had the Sawiris' offer dropped onto them as a bombshell two weeks ago, insiders have said. "Sawiris is not a man to go in without being sure he can drive the strategy," one source familiar with the thinking of the core shareholders said. Sawiris told Reuters he was also opposed to a current plan to spin off Telecom Italia's fixed-line network, which is backed by some core investors as a way to raise badly needed cash, and by the Italian government as a means to speed up broadband investment. More»

Telecom Italia shareholder Marco Fossati said on Monday that any offer for the company from Egyptian businessman Naguib Sawiris must be worth around 1.5 euros per share to be attractive. The debt-laden group has attracted attention from Sawiris, who could invest billions of euros by buying new shares in the company. The possible investment will be discussed at a Telecom Italia board meeting on Dec. 6. "I seem to have understood there is no specific or detailed offer," Fossati told Reuters. "We're waiting for his next move." "A correct price would be the one that most shareholders have on their books, which is around 1.5 euros per share." Fossati holds a five percent stake it the company. At 1024 GMT, shares were trading at 0.69 euros, down 0.6 percent. More»