A Dubai Holding unit is battling to reinstate an initial public offering of Tunisie Telecom, which it bought a US$2.25 billion (Dh8.26 billion) stake in the year 2006.
The investment company, Emirates International Telecommunications (EIT), that holds 35 percent stake in the Tunisian telecoms company, confirms that planned share sake was cancelled without its approval. The company wants the initial IPO to be reinstated but is being opposed by the new government in Tunisia as well as by a local union.
The Tunisian General Labor Union (UGTT) is demanding the sale be let off permanently. The union is objecting to the employment of about 60 of the company?s 8,500 staff; and has been facing large scale strikes from the beginning of the year.
The IPO was suspended initially because of the political situation in Tunisia and protests over what was perceived as a privatization of the company.
EIT is part of Dubai Holding, the conglomerate owned by Sheikh Mohammed bin Rashid, Vice President of the UAE and Ruler of Dubai.