South Korea’s KT has arranged to exit its longstanding investment in majority state owned operator Mongolia Telecom Company.
KT has offered to sell its 40% stake in Mongolia Telecom Company to the government of Mongolia for $2.5 million, Montsame News Agencyreported. At a cabinet meeting earlier this week, the transaction was approved.
The transaction will take the Mongolian government’s stake in the operator up to 94.67%. The remainder is owned by local and foreign national investors.
Mongolia Telecom Company has a roughly 25% share of Mongolia’s landline market and an 11.3% share of the broadband market. KT first invested in the company in 1995 for $4.5 million, more than the agreed upon sale price.