Egyptian telecom operator, Mobinil says it wants to raise EGP2 billion ($357 million) from a syndicated loan, which will be used to finance expansion projects as it targets a return to profitability.

Mobinil’s revenue fell drastically last year after commercial activities hit an all time low, following the political instability caused by the ousting of former dictator, Hosni Mubarak.

It recorded a net loss of EGP 296 million ($42.3 million) in the first six months of 2013, a significant increase from the EGP 47 million ($6.7 million) loss it realised a year earlier.

The mobile service provider also attributed the losses to the cost of switching its network to the 3G technology currently operating in top economies across Africa.

It, however, harboured plans to move a step further by acquiring a 4G license to further expand its service offerings, boosting revenues and possibly returning to profitability.

“We will continue to invest,” said Yves Gauthier, CEO of the Egyptian company for Mobile Services.

Adding that Mobinil typically invests EGP2 billion annually, he declared “2013 will be a year of profitability.”

Founded by egyptian billionaire, Naguib Sawiris,  Mobinil is one of three mobile operators in the country – the other two being Vodafone Egypt and the UAE-backed Etisalat Misr.

Its investment strays from expert analysis of the Egyptian telco industry, with analysts claiming there’s no solid business reasoning for investing in a stagnant market.

“There is no growth in the telecom market anymore,” an observer noted. “I don’t see how it is profitable to invest in a market where there is no growth.”