Zain faces an urgent challenge after the most tumultuous year in the company's history.
The Kuwaiti telecommunications operator has been left in disarray after its failure to raise cash by selling off assets and a stake in the group.
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Analysts have warned that the company must now take decisive action if it is to stem further share-price declines.
So far, Zain has failed to sell a US$12 billion (Dh44.07bn) controlling stake in the business to Etisalat in the UAE, while plans to raise $950 million by offloading the Saudi Arabian operation have also fallen through.
All this has hit the company's share price, which has tumbled 38 per cent this year, closing last week at 0.93 dinars.
"A lot of investors are now beginning to vote with their feet," said Ibrahim Masood, a senior investment officer for asset management at the bank Mashreq. "So they need to do something, and they need to do something now.
"We're still waiting to get some clarity as to what exactly is it that Zain's strategy is over the next three years or so."
Zain started selling foreign operations last year, with most of its African subsidiaries going to India's Bharti Airtel for $9bn.
But since then, Mr Masood says, the company has lost its direction.
"Everybody has been waiting for the next big strategic move," he says.
Zain faces many problems. It lost several key members of its management team this year, including Barrak Al Sabeeh, the chief operating officer, and Haitham Al Khaled, the chief strategy and business development officer.
Disagreement among Zain stakeholders has also created uncertainty.
The Kharafi Group, a major shareholder with 26 per cent, has led calls for Zain to be sold, but the move has been opposed by other board members.
Kharafi is keen to raise cash. Reuters reported that it owes about $5bn to local banks.
"The Kharafi Group and their supporters were clearly motivated by the need for raising some liquidity," Mr Masood said. "Their motivation for pushing for a strategic sale to Etisalat wasn't exactly driven on the merits of the transaction itself."
Zain Group also faces a major challenge in Saudi Arabia. It owns a 25 per cent stake in Zain Saudi Arabia, which was recently forced to put forward a capital restructuring plan amid accumulated losses of $2.5bn.
Last month, Saad Al Barrak, the Saudi Arabian division chief executive, resigned after the collapse of talks to sell Zain's stake in the telecoms operation to Kingdom Holding and Batelco.
Andre Popov, a partner at the consultancy Peppers & Rogers Group in Dubai, says Zain "needs to fundamentally change both its strategy and tactical execution" in Saudi Arabia.
"Zain faces two great competitors: Mobily and very nimble incumbent STC [Saudi Telecom Company], who react very quickly to any of Zain's moves," Mr Popov says. "Zain started a price war on international tariffs that was met with swift responses by the other two competitors, and destroyed value for all three companies."
Despite those problems, analysts point to Zain's lucrative operations in markets such as Iraq, Sudan and Kuwait as signs of future growth.
"If you look at Zain today in the Middle East, they own very strong franchises in the countries in which they operate," says Simon Simonian, a telecoms analyst at Shuaa Capital. "And most of them are the number one operators in their respective markets."
But even in these high-potential markets there are challenges. Zain may be forced to pay additional, unexpected licence fees for the right to operate in South Sudan, after that country's formation in July.
"They'll probably end up having to pay anywhere between €80m (Dh404.8m) to €90m for the licence in the south," Mr Masood says.
But in the end, Zain shareholders may be tempted to sell a controlling stake in the company.
"Most of the telecom operators in the region are government-owned, and these are considered as national champions," Mr Simonian says. "So they are buyers, not sellers.
"Zain is in a unique situation. It is not government-owned, and has prime assets where they are the number one operator in key countries in the Middle East," he says.
Matthew Reed, a senior analyst for the Middle East and Africa at Informa Telecoms & Media, echoes those views. A renewed bid for Zain by Etisalat is "not impossible", he says.
But he also warns that Zain must first come up with a coherent strategy for the future.
"If the problems are not resolved, then it could begin to have operational and financial repercussions," Mr Reed says. "One wonders where Zain goes from here."
bflanagan@thenational.ae
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1,000 tonnes of waste collected daily:
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Cheat’s nigiri
This is easier to make than sushi rolls. With damp hands, form the cooled rice into small tablet shapes. Place slices of fresh, raw salmon, mackerel or trout (or smoked salmon) lightly touched with wasabi, then press, wasabi side-down, onto the rice. Serve with soy sauce and pickled ginger.
Easy omurice
This fusion dish combines Asian fried rice with a western omelette. To make, fry cooked and cooled sushi rice with chopped vegetables such as carrot and onion and lashings of sweet-tangy ketchup, then wrap in a soft egg omelette.
Deconstructed sushi salad platter
This makes a great, fuss-free sharing meal. Arrange sushi rice on a platter or board, then fill the space with all your favourite sushi ingredients (edamame beans, cooked prawns or tuna, tempura veggies, pickled ginger and chilli tofu), with a dressing or dipping sauce on the side.
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RB Leipzig v Freiburg (4.30pm)
Hoffenheim v Hertha Berlin (4.30pm)
Fortuna Dusseldorf v Paderborn (4.30pm)
Augsburg v Wolfsburg (4.30pm)
Eintracht Frankfurt v Borussia Monchengladbach (7.30pm)
Sunday, May 17
Cologne v Mainz (4.30pm),
Union Berlin v Bayern Munich (7pm)
Monday, May 18
Werder Bremen v Bayer Leverkusen (9.30pm)
How much of your income do you need to save?
The more you save, the sooner you can retire. Tuan Phan, a board member of SimplyFI.com, says if you save just 5 per cent of your salary, you can expect to work for another 66 years before you are able to retire without too large a drop in income.
In other words, you will not save enough to retire comfortably. If you save 15 per cent, you can forward to another 43 working years. Up that to 40 per cent of your income, and your remaining working life drops to just 22 years. (see table)
Obviously, this is only a rough guide. How much you save will depend on variables, not least your salary and how much you already have in your pension pot. But it shows what you need to do to achieve financial independence.
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Engine: 2.7-litre 4-cylinder Turbomax
Power: 310hp
Torque: 583Nm
Transmission: 8-speed automatic
Price: From Dh192,500
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Fifa Club World Cup:
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Torque: 230Nm
Transmission: 6-speed automatic
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The biog
Favourite car: Ferrari
Likes the colour: Black
Best movie: Avatar
Academic qualifications: Bachelor’s degree in media production from the Higher Colleges of Technology and diploma in production from the New York Film Academy