Telecom Egypt Co., the country’s monopoly fixed-line telephone provider, tumbled the most in 11 months after the government set a one-year deadline for it to exit a local mobile phone venture with Vodafone Group Plc.
Telecom Egypt Co. will have to pay 2.5 billion Egyptian pounds ($359 million) for a unified license giving the country’s landline monopoly the right to offer services over competitors’ mobile-phone networks.
Egypt’s benchmark stock index fell to the lowest level in more than six weeks after yesterday’s deadly bombings outside Cairo University triggered concern violence may escalate before presidential elections.
Telecom Egypt, the country’s landline phone monopoly, surged to the highest since February after Vodafone Plc expressed interest in buying the shares it doesn’t already own in the companies’ local joint venture.
Telecom Egypt, the country’s landline monopoly, said it may buy a controlling stake in Vodafone Group Plc.’s local mobile-phone unit when 4G spectrum is offered, to avoid a possible conflict of interests.