Etisalat said that it is continuing to work toward an acquisition of a 46 percent stake in MEA operator group Zain, despite its previous offer expiring after the companies failed to reach a definitive agreement by 15 January 2011. According to Etisalat, the companies missed the deadline due to “unforeseeable delays in Zain providing access to all relevant information which is required for Etisalat to complete its due diligence process.” No new date was given for progressing the business, although Etisalat says that stakeholders will be updated “in due course.” National Investments Co, a subsidiary of Kharafi Group, the Zain shareholder driving the Etisalat deal, also says it is continuing to work toward a transaction. Telecompaper said that Zain had also stated it was unaware of a suggested deal which would see Turkey’s Cukurova Holding acquiring a 29.9 percent stake in its business, a move that would derail the Etisalat transaction. Cukurova has a controlling stake in Turkcell.

Separately, Etisalat announced the full year results for its Saudi Arabian arm Mobily, which saw net income climb to 39.7 percent to SAR4.21 billion ($1.12bn), on revenue up 22.6 percent to SAR16 billion, attributing the increase to “higher usage rates, in terms of minutes traffic and data transmission.” In a statement, the company said that it has a future focus on data, noting that LTE trials have been completed, alongside prior pilots of HSPA+ technologies in “major areas of the Kingdom.” Saudi Arabia is the key area where Etisalat and Zain overlap; should the alliance of the two businesses be successful, it will be followed by the disposal of Zain’s operations in this country. Otherwise, the companies have a footprint that is generally complementary.