Egypt's Orascom Telecom (OT) said on Tuesday it had filed an appeal requesting that a sale of shares in mobile operator Mobinil be rescinded because the buyer, France Telecom, had not met conditions for the deal.
Egypt's market regulator said earlier on Tuesday that it was studying an obligatory tender offer submitted by France Telecom to buy all the shares of Mobinil..
It did not give details of the price offered by France Telecom.
OT and France Telecom have been locked in a row since 2007 over their stakes in Mobinil. They took their dispute to an arbitration court but have since disagreed over the ruling.
OT said in a statement it had appealed to a Cairo court to declare "that the share sale agreement arising out of the arbitration award... has been rescinded".
The Egyptian firm said it had filed the appeal "due to France Telecom's -- and its subsidiaries' -- failure to pay the price of the shares by the time stipulated in the arbitration award, and related damages."
France Telecom declined to comment.
The Egyptian stock exchange suspended trading on both Mobinil and OT ahead of the regulator's announcement, but OT's London-listed GDR shares closed 4.65 percent higher at $33.90.
Mobinil shares ended trade on Monday up 6.7 percent at 204.97 pounds.
France Telecom and OT own a holding company with a controlling stake in Mobinil, Egypt's largest mobile operator by subscribers.
But the two firms came into dispute in 2007, and sought arbitration that ruled in April that the French firm should buy OT's 28.75 percent stake in the holding firm for the equivalent of 273.26 Egyptian pounds ($49) per share.
Egypt's market regulator later said France Telecom was obliged to tender for the remaining listed shares at the same price and rejected a Frane Teleom offer of around 200 pounds per share.
Orascom also owns a 20 percent direct stake in Mobinil.