Kuwait's largest investment firm in terms of assets, Kuwait Projects Co, announced last Saturday that it had engaged the services of Rothschild financial group to provide advice for an initial public offer of OSN, its pay television company.

KIPCO is one of the major investment houses in the region and has interests in financial, industrial, media and real estate enterprises. It currently owns 60.5%of OSN while the remaining 39.5% is owned by the Mawarid Group of Saudi Arabia.

According to KIPCO's Vice Chairman Faisal al-Ayyar through a statement, "OSN's market position and potential for future growth has created an opportunity for an IPO that we now want to explore with our partner Mawarid Group."

An anonymous source familiar with the matter said, "This is a feasibilty study ahead of a potential float for OSN for which Rothschild has been hired. Once the company decided to pursue a flotation, more banks will be involved in the deal."

Rothschild would not distribute or underwrite the offer.