Mobily [7020.SE] and Zain KSA [7030.SE] are both expected to reduce annual amortisation charges by SAR260mn and SAR433mn, respectively, following the extension of their mobile licences for a period of 15 years. Both companies will be subject to pay 5% of annual net profit as fees to the government throughout the extension period. In addition, both operators will be granted a unified telecom licence, which will allow them to offer all telecom services in KSA. Zain KSA’s CEO, Hassan Kabbani, announced in a media interview with Al Arabiya that the company will now be able to negotiate with the Ministry of Finance (MoF) over the c.SAR1.9bn government dues, expected to be repaid starting 2021. Zain KSA will also look into partnering with Saudi Electricity Company (SEC), amongst other companies that own a fibre-optic network in KSA, to offer fixed-line data services through the latter’s fibre-optic network. (Tadawul, Al Arabiya)   Mobily: SAR18.71 as of 03 October 2016, Rating: Neutral, FV: SAR24.53 per share, MCap: USD3,842mn, EEC AB / 7020.SE Zain KSA: SAR6.73 as of 03 October 2016, Rating: Neutral, FV: SAR6.56 per share, MCap: USD1,048mn, ZAINKSA AB / 7030.SE