Iran General NewsIran will re-tender mobile deal if Turkcell quits

Iran will re-tender mobile deal if Turkcell quits

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Reuters: Iran will re-tender operatorship of its second private mobile phone network, if Turkcell quits the deal because lawmakers changed the Turkish firm’s terms, an official said on Wednesday. Masoum Fardis, running the tender for Iran’s telecommunications ministry, said his ministry had returned the bid-bond of South Africa’s MTN which came second in the tender after Turkcell paid its licence fee. Reuters

TEHRAN – Iran will re-tender operatorship of its second private mobile phone network, if Turkcell quits the deal because lawmakers changed the Turkish firm’s terms, an official said on Wednesday.

Masoum Fardis, running the tender for Iran’s telecommunications ministry, said his ministry had returned the bid-bond of South Africa’s MTN which came second in the tender after Turkcell paid its licence fee.

“After Turkcell paid its 300 million euro licence fee, we gave back MTN’s bid bond. If Turkcell withdraws, the only way remaining now is a tender,” he told Reuters.

Iranian parliamentarians on Sunday voted to grant Turkcell, winner of the original tender, just 49 percent of the deal although it signed for nearly 70 percent.

Turkcell has said it is likely to reject these new terms, which include heavy surveillance of operations by the intelligence ministry.

Analysts had said that the government now had a choice to either retender or open negotiations with MTN that has said it would be willing to accept the minority 49 percent stake.

The deal, whose original value was $3 billion, promised to be one of the largest investments since the 1979 Islamic revolution and is viewed as a test of whether Iran was ready for inward investment.

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