Deutsche Telekom and the Greek state forge deal on OTE

Miercuri, 14 mai 2008, 17:58 English | Business

Greek state officials and Deutsche Telekom representatives reached an agreement on the sale of a participation owned by the Greek state at OTE, the biggest local telecom operator, Greek Economy minister George Alogoskoufis announced on Wednesday quoted by Reuters. He added that the terms of the transaction were accepted by both parts and the document, approved.

Later on Wednesday, a Greek minister was quoted as saying that the state will sell a 4% stake in OTE for a price of 29.75 euro per share.

Official negotiations between Greek state representatives and Deutsche Telekom started in March this year and since then several media rumors have emerged regarding the status of discussions between the two. The Greek state owns 28% of OTE shares, representing the majority stake.

Deutsche Telekom will buy from the Greek state a 3% participation at OTE and another 20% owned by Marfin Investment Group. In Romania, DT would take control over wired telephony operator Romtelecom, mobile company Cosmote and reteailer Germanos where OTE holds the majority of shares.