Reuters scoops MTN’s $7.8 bln offer for Orascom Algeria unit

Reuters tracked down Orascom Telecom chairman Naguib Sawiris at a June 2 event in Beirut where he said that South Africas MTN had offered to pay $7.8 billion for Orascoms Algerian unit, Djezzy. Sawiris comments were exclusive to Reuters and the first time he had given any indication to what sort of price he expected for the unit. Analysts see Djezzys fair value at a slightly lower price. In addition, Sawiris said he thought talks with the Algerian government would take a positive turn, providing clients and investors with positive sentiment, increasing the likelihood of a deal. Bloomberg was forced to pick up the Reuters story. Orascom’s share price rose 3 while MTN underperformed its home Top-40 index.