Cosmofon to reduce headcount ahead of possible sale, restructuring

4 Jun 2008

Macedonian mobile operator Cosmofon is reportedly laying off between 40 and 50 people as part of wider preparations for the sale or restructuring of the business pending the completion of Deutsche Telekom (DT’s) acquisition of its owner OTE of Greece. Reports in the Dnevnik newspaper say the firm has not confirmed the job losses, but rumours are growing that the redundancies will be announced in the next two weeks.

Macedonia’s Competition Committee is said to be seeking talks with DT amid concerns the German group now holds an unfair dominant position in the market following its acquisition of shares in OTE. Earlier this month, DT acquired a roughly 25% stake in OTE which owns Macedonia’s second largest cellco, Cosmofon, through its mobile arm Cosmote. Germany’s dominant telecoms firm already owns the leading operator T-Mobile Macedonia through Magyar Telekom, which together control around 90% of the mobile market, and also owns the country’s leading fixed line operator Makedonski Telekom.

North Macedonia, ONE (incl. on.net and Cosmofon)