Reports from the Austrian press suggest that the country’s state-backed PTO Telekom Austria is close to agreeing a merger deal with its Greek counterpart OTE. The newspaper Kurier claims that merger talks are at an advanced stage. The Greek government recently announced that it is looking for a buyer for up to 20% of its 38.7% stake in OTE. The Austrian government, meanwhile, has said it plans to hang on to its 25.1% share of Telekom Austria. Neither of the telcos has commented on the rumours.