State and Sonaecom reach ‘golden share’ deal

12 Jan 2007

Sonaecom has accepted the Portuguese government’s proposal under which the state will retain its so-called ‘golden share’ in Sonaecom takeover target Portugal Telecom (PT). In return, Sonaecom will be exempt from submitting its restructuring plans for PT to an AGM, reports AFX citing local newspaper Diario Economico. If Sonaecom is successful with its planned takeover of PT then the restructuring will be decided by the newly merged entity’s board. The European Commission has called for the Portuguese government to give up its golden share in PT, but the state maintains that it will not give up the stake, which gives it the right to veto certain strategic decisions.

Portugal, Optimus (Clix)