Kuwait's Zain (formerly Mobile Telecommunications Co) expects its investments in countries such as Nigeria and Saudi Arabia to weigh on operating profit until 2009 when revenue should jump 50 percent.

Zain, the third-largest Arab telecom firm by market value, expects to spend about $3.3 billion building networks this year -- including in Iraq and Sudan -- $2.7 billion next year and $2.2 billion in 2009, chief executive Saad al-Barrak said, according to Kuwait News Agency.

Revenue should rise to $7 billion next year, from more than $6 billion this year, before jumping 50 percent to $10.5 billion as investments pay off and user number rise, Barrak said, according to Kuna.

The company expects 40 million users by the end of this year, 60 million by the end of next year and 81 million by the end of 2009, Kuna said.

Earnings before interest, tax, depreciation and amortisation should be about the same next year as this, before rising to $4 billion in 2009, the agency said, without giving figures for the 2007 and 2008.

Asked if the firm is planning to raise funds by selling shares, Barrak said: "The nature of Zain's large growth might require an increase."    

The company was "close to receiving a license as a major European operator", Barrak said, without identifying the country.

Barrak told Reuters on September 3 that EBITDA in the six months to June 30 was $1.19 billion and would rise to $6 billion in 2011. -Reuters