Millicom International Cellular is selling its assets in Sri Lanka, Laos and Cambodia as part of an exit from Asian operations.
Etisalat said Monday it made the bid on September 4 but did not disclose financial details.
Last month, India’s Economic Times said Bharti Airtel is planning to bid for Sri Lanka's Tigo and estimated the Sri Lankan mobile network operator to be worth between 150 - 200 million US dollars.
UAE's Etisalat executives were in Sri Lanka recently looking at new investment opportunities in the island whose 30-year ethnic war ended in May with the defeat by government forces of Tamil Tiger rebels.
VimpelCom, Russia's second largest mobile company, which has operations in Cambodia, had also said it was interested in Tigo.
There have also been reports that Malaysia-based Axiata group which owns Sri Lanka's mobile market leader Dialog was interested, although the