MTC, the $17 billion Kuwaiti giant, is recruiting advisers for a London listing of its international business in the first quarter of next year.

The Kuwaiti group, which is a partner to Vodafone, has invited investment banks to pitch for work on the float of its international vehicle, MTCI.

The float, which is not yet finalised, is expected to raise $3 to $4 billion (£1.5 to £2 billion). It would mark the latest coup for the London Stock Exchange in winning out over foreign exchanges for business from foreign operators.

Saad Al-Barrak, chief executive of MTC, told The Timesyesterday: “MTCI is seeking to list on the LSE in the first quarter of 2008.”

He confirmed that the group, which is listed, had invited investment bankers to pitch for the work. MTC is listed on the Kuwait Stock Exchange but the international division is currently private. The group declined to reveal the future of its Kuwaiti listing, but it may seek to structure the initial public offering to retain a listing in its home region.

MTC is thought to believe that it is important to maintain its identity as a Kuwaiti-based operator. If it goes ahead with its plan, the group could use the proceeds to fund expansion.

The company was established in 1983 and was one of Kuwait’s first mobile operators. It is a leading emerging markets player with mobile operations in six Middle Eastern and 14 sub-Saharan African countries.

In 2005 MTC snapped up Celtel, Africa’s third-biggest mobile company, and MTCI was created as part of that deal. UBS advised MTC on its Celtel acquisition, although the group also has relationships with other Western banks.

MTC’s partnership with Vodafone was signed in 2002. The agreement, which covers Kuwait and Bahrain, takes in roaming, branding and sharing of best practice.

A listing in London could help the Kuwait-based group not only in terms of fund-raising, but also to heighten its profile outside its traditional emerging markets territories.

Earlier this year Telekom Atlas, a Turkish telecoms group, joined Plus Markets. The group said that the listing would help to raise its profile in Turkey.

Late last year Oger, another Turkish telecoms operator, announced plans to list its global depositary receipts on the London Stock Exchange at the same time as it floated on the Dubai International Foreign Exchange.

MTC has said that it wanted to become an international player in telecoms. It recently posted full-year results showing net income of $1.051 billion on revenues of $4.167 billion for the year to the end of December 2006.

Last year MTC, in which the Kuwait’s Investment Authority retains a 24.6 per cent stake, said it was evaluating all of its options with regard to a foreign listing. It said that such a move would to allow those who wanted “access and participation in the MTC success story”.

The group, whose markets include Bahrain, Lebanon, Nigeria and Uganda, was among the first to introduce prepaid mobiles to the Kuwait region.

Celtel shunned a listing on the London Stock Exchange and was acquired by MTC in March 2005.

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