Vodafone to sell stake in Egyptian unit to Saudi Telecom for $2.4 billion - Reuters

Vodafone to sell stake in Egyptian unit to Saudi Telecom for $2.4 billion - Reuters:

Vodafone Group (VOD.L) has struck a preliminary deal to sell its 55% stake in its Egyptian unit to Saudi Arabia’s largest telecoms operator STC (7010.SE) for $2.4 billion, the companies said on Wednesday. 

The non-binding deal values Vodafone Egypt at $4.4 billion and the two companies have agreed a arrangement over the long-term use of the Vodafone brand and other services in Egypt.

Selling the stake is in line with Vodafone’s efforts to streamline its operations to focus on Europe and sub-Saharan Africa, Vodafone Chief Executive Nick Read said.

“It will reduce our net debt and unlock value for our shareholders,” he said.