CAIRO, Oct 3 (Reuters) - Egyptian holding company OTMT said on Monday its failure to resolve a dispute with the financial regulator had hit business and stymied growth, and it would hold a board meeting to discuss how to proceed.
“The major shareholder will ask the company’s board of directors to convene at the earliest possibility to discuss how the company will continue its business given its current inability to expand and perform its core business normally,” OTMT said in a statement on the stock exchange website.
The dispute revolves around breaches the Egyptian Financial Supervisory Authority (EFSA) says were involved in the 2011 demerger of Orascom Telecom Holding, which culminated in OTMT’s current shareholding structure.
OTMT has holdings in media, technology and cable businesses but has sought to move further into the financial sector. The dispute has scuppered efforts by its subsidiary Beltone Financial, to acquire CI Capital, a local investment bank - a deal that was central to Beltone’s growth strategy.
Reporting by Ola Noureldin, writing by Lin Noueihed; Editing by Mark Trevelyan