UAE telecoms company Emirates Telecommunications Corporation (Etisalat) will allow foreign and institutional investors to own shares from 15 September.

In June, Etisalat said it would permit foreign and institutional investors to own shares worth up to 20 per cent of the company, but it also added that these shareholders would not be granted voting rights.

In August, MEED reported that the share price increased 0.74 per cent to reach AED13.5 ($3.7) on 19 August, on the back of news that non-UAE investors would be able to purchase stock in the company.

The federal government, which owns 60 per cent of Etisalat through sovereign wealth fund Emirates Investment Authority, will be issued with a special share, the company said. This will grant the government veto rights over key decisions such as changes to Etisalat’s share capital, rights attached to shares, approval of a merger with another company, participation of a strategic investor and allowing the government’s stake to fall below 51 per cent.