Morocco’s sale of 8% stake in Maroc Telecom to inject $920 million into state budget

Morocco says it plans to sell off an 8 percent stake in Maroc Telecom, which will lead to an 8.87 billion dirham boost towards financing the country’s budget. This privatisation programme is aimed at improving state financing according to the Morocco capital market regulator, AMMC.

Another 6 percent stake in the company comprising of 52.74 million shares, priced at 127 dirhams will be sold as a block order to local institutional investors such as retirement funds, insurance companies and banks on June 17, according to the prospectus.

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The remaining 2 percent will be sold on the Casablanca stock exchange in a public offering at a share price of 125 dirhams starting on June 26 and closing on July 5 2019.

The 2 percent stake also includes 2.9 million shares, representing 0.3% of Maroc Telecom’s capital, to be sold to the company’s employees at a share price of 117.7 dirhams, the prospectus showed.

The sale will cut the state’s stake in the company to 22% from the current 30%. Maroc Telecom is listed on both the Casablanca stock exchange and the Euronext exchange in Paris.

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Morocco says it plans to sell off an 8 percent stake in Maroc Telecom, which will lead to an 8.87 billion dirham boost towards financing the country’s budget. This privatisation programme is aimed at improving state financing according to the Morocco capital market regulator, AMMC.

Another 6 percent stake in the company comprising of 52.74 million shares, priced at 127 dirhams will be sold as a block order to local institutional investors such as retirement funds, insurance companies and banks on June 17, according to the prospectus.

Related: Digital colonialism: The price Africa pays for cheap internet

The remaining 2 percent will be sold on the Casablanca stock exchange in a public offering at a share price of 125 dirhams starting on June 26 and closing on July 5 2019.

The 2 percent stake also includes 2.9 million shares, representing 0.3% of Maroc Telecom’s capital, to be sold to the company’s employees at a share price of 117.7 dirhams, the prospectus showed.

The sale will cut the state’s stake in the company to 22% from the current 30%. Maroc Telecom is listed on both the Casablanca stock exchange and the Euronext exchange in Paris.

Related: Formula One in talks to make African comeback