Areeba merges with MTN Group

DUBAI — InvestCom, the company that owns the Syrian Tele-communications firm Areeba, has announced its merger with the MTN Group, the Johannesburg-based South African telecommunications giant.



By A Staff Reporter

Published: Mon 2 Jul 2007, 9:14 AM

Last updated: Sat 4 Apr 2015, 10:11 PM

Ismael Jaroudi, CEO, Areeba Syria, said that the merger marked an important landmark for Syrian businesses on the one hand, and the Syrian telecom sector on the other. "The desire to further advance cellular communication in Syria and the Syrian government's commitment to encourage investments in the country inspired the merger move. This development will help meet the soaring demand in Syria for advanced telecommunications facilities," he added.

For MTN, this is the 9th biggest merger-ownership deal in the last 15 years. As the telecommunications industry is witnessing a phenomenal growth across the globe, the merger between the two companies is important for the Syrian market in particular and the regional market in general. It will further accelerate the growth of the industry in the region.

Jaroudi went on to state that "the merger brings together two companies that will integrate their strengths, culture and vision to generate growth. This merger and its presence in 21 countries in Africa and Asia will further enable MTN it to enter other important markets. The confidence inspired by Areeba's subscribers and MTN's expertise and immense human resources will bring a new era in telecommunications in Syria."

Economic analysts and experts in the telecommunications sector expect that the merger would stir stronger competition in the markets where MTN and Investcom are currently present. The deal represents a successful horizontal merger between two groups, leading to further expansion geographically and in services.


More news from Business