Zain to build Syria’s second mobile network in $1.5B deal

Kuwait’s Zain is betting more than $1.5 billion on Syria, agreeing to build and operate the country’s second mobile network in what would rank among the biggest foreign investments since Bashar al-Assad’s ouster.

The telecom company, formally known as Mobile Telecommunications Co., will pay $747 million for the license and invest about $800 million to upgrade Syria’s wireless infrastructure, including deploying 5G services, while the Syrian government will retain a 25% stake in the venture, Bloomberg reports.

The award gives President Ahmed al-Sharaa one of his biggest early foreign investments as he seeks to rebuild the country’s economy after the U.S. eased most sanctions.

The license became available after Johannesburg-based MTN Group exited Syria, while Qatar’s Ooredoo was also competing for the concession. Zain competes with Syriatel, a mostly government-owned company.

Zain, which trades on the Boursa Kuwait stock exchange, counts the Kuwait Investment Authority and Omantel among its largest shareholders.