Marrakech – e& Group, the UAE-based telecommunications company and majority shareholder of Maroc Telecom (MT), has expressed disappointment with the recent decision by the Court of Appeal of Casablanca.
The court rejected MT’s appeal against a ruling by the Commercial Court of Rabat, which had ordered MT to pay 6.368 billion Moroccan dirhams (approximately $645 million) to its competitor, Wana Corporate, for alleged anti-competitive practices.
In an official statement released yesterday, e& Group confirmed its intention to pursue all available legal avenues to appeal the ruling and protect its investments in MT, in which it holds a 53% stake.
The group maintains its confidence in MT’s compliance with regulatory laws and regulations across its operating markets.
H.E. Jassem Mohamed Bu Ataba Alzaabi, Chairman of e& Group, lamented the challenging regulatory environment in Morocco, stating that it “negatively affects the future outlook of our investments.”
CEO Hatem Dowidar emphasized e& Group’s commitment to compliance and noted that the court decision will not impact the group’s consolidated results for the second quarter of 2024 or subsequent periods, due to adequate coverage of international regulatory risks.
Dowidar also stated that “all options are on the table” regarding e&’s investment in MT, citing repeated setbacks caused by regulatory penalties, legal judgments, and resolutions that have cost MT more than MAD 12 billion (over $1.2 billion) in recent years.
He stressed the need for constructive cooperation between service providers, regulators, and legislators to foster digital development.
The case against MT was initially filed by Wana Corporate, also known as Inwi, in 2021, accusing MT of unfairly using its market-dominant position.
The Moroccan government holds a 22% stake in MT, with the remaining shares held by institutional, retail, and individual investors.
MT is active in several African countries, including Benin, Burkina Faso, Cote d’Ivoire, Gabon, Mali, Mauritania, Niger, Central African Republic, and Togo.
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