Telecom Egypt (TE) [ETEL.CA] is considering whether to establish a new company to offer the mobile service or to offer the service through its ADSL arm, TE Data, according to an unnamed government official. TE is expected to spend cEGP10bn in the first year alone to be able to offer the service. TE is still considering different financing options for the new company –or TE Data- which may be considered for an IPO at a later stage, according to the government official. Moreover, it is expected to cost TE cEGP1bn each year to utilise the mobile network operators’ (MNOs) 2G and 3G networks, in addition to cEGP2bn per year for operating expenses including marketing and mobile-card printing costs. In related news, The National Telecommunication Regulatory Authority (NTRA) is studying the impact of a request submitted by TE to get a head start in offering mobile services before allowing a fifth operator to enter the market. (Al Borsa)   Telecom Egypt: EGP9.45 as of 19 July 2016, Rating: Buy, FV: EGP12.21 per share, MCap: USD1,817mn, ETEL EY / ETEL.CA