Telefónica makes highest bid for Cesky Telecom stake

31 Mar 2005

The steering committee for the sale of the Czech government’s 51.1% stake in Cesky Telecom has recommended that the holding be sold to Telefónica after the Spanish group submitted the highest bid for the operator on 29 March. Telefónica’s final offer of CZK502 (USD22) per share outbid rival offers by Belgacom and Swisscom. The committee has now passed on its recommendation to the government, which is expected to make a final decision on the sale shortly. However, the sale of Telecom could yet be abandoned depending on the results of a confidence vote in Prime Minister Stanislav Gross on 1 April. If Gross’ coalition government is dissolved the privatisation could be delayed indefinitely whilst a new administration is formed.

Czech Republic, O2 Czech Republic (incl. CETIN), Proximus, Swisscom, Telefonica