Cairo- Mubasher: Telecom Egypt (TE) on Thursday announced renewing its international wholesale service agreement with Vodafone Egypt starting from September 2017 until the end of 2022.
Revenues from the agreement are expected to reach EGP 12 billion, TE revealed in a statement to the Egyptian Exchange (EGX).
The agreement included updated conditions related to new mechanisms so as to keep track of the current telecom market changes.
TE’s deal also helps both companies to reduce acts of manipulation and smuggling of international calls.
The commercial commitment to the deal exceeds five years, according to the agreement.
It is worth mentioning that informed sources recently said that the Egyptian government had started studying the available options to deal with TE’s 45% stake in Vodafone Egypt, with respect to the common interest of both companies.
The results of the feasibility study will be announced by the end of 2017.
TE last reported that its profits increased in the first half of 2017 to EGP 2.6 billion, compared to EGP 2.3 billion in the same period in 2016.
Meanwhile, Vodafone Egypt’s financial statements revealed a 37% year-on-year decline in service revenues to achieve EGP 4.7 billion in Q2-17, compared to EGP 7.5 billion in Q2-16.
