Telekom files for arbitration over Ghana investment
State-owned telecommunications firm Telekom Malaysia has filed arbitration proceedings in London against the Ghana government over a disputed investment in the African country.
The arbitration proceeding was filed on Feb 10 after Telekom Malaysia "failed to reach an amicable settlement" with Ghana over the Malaysian company's investment in Ghana Telecommunications Co, Telekom said in a statement late yesterday.
Telekom expects the proceedings to take up to two years.
State-owned telecommunications firm Telekom Malaysia has filed arbitration proceedings in London against the Ghana government over a disputed investment in the African country.
The arbitration proceeding was filed on Feb 10 after Telekom Malaysia "failed to reach an amicable settlement" with Ghana over the Malaysian company's investment in Ghana Telecommunications Co, Telekom said in a statement late yesterday.
Telekom expects the proceedings to take up to two years.
The dispute arose after Telekom Malaysia lost management control in Ghana Telecommunications in July last year, and it now wants a US$50 million (RM190 million) deposit returned.
Consultancy fees
Telekom is seeking to sell its 30 percent Ghana Telecommunications stake to the Ghana government at fair market value and for the payment of consultancy fees of US$7.3 million (RM27.7 million).
Telekom owns 85 percent of a venture that bought 30 percent of the phone company for US$38 million (RM144 million) in 1996.
Telekom ventured into African and other Southeast Asian markets as competition took a toll on its domestic business.
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