2004 News Story

Etisalat Company formally set up for cell phone services

Minister of Commerce Dr Hashim Yamani has formally approved the establishment of the Etisalat Consortium Company, a Saudi stock company with a capital of SR 5 billion [U.S. $1.3 billion] that will offer telecommunications services throughout the Kingdom. All of the Riyadh-based company’s 100 million shares, each valued at SR 50 [$13.3], have been paid, including 20 million in a public offering in October. The board of directors will have ten members, appointed by the company's general assembly for a period of three years, although the first board will serve for five years. The establishment of the company comes in line with the State policy aimed at broadening the economic base and enabling the private sector to contribute to the country’s economic development.