Serbia to auction Telekom stake in September

29 Mar 2010

Serbia plans to auction a stake in Telekom Srbija in September and aims to use the proceeds for much-needed investment, the prime minister said on Friday. The government will sell half its 80% stake in Telekom Srbija, which analysts estimate is worth between EUR2 billion and EUR4 billion (USD2.7 billion to USD5.3 billion). Greek operator OTE holds the remaining 20% stake.

Local media have reported that Deutsche Telekom, France Telekom and Egyptian operator Orascom have expressed interest in the stake. The government also plans to give away another 20% of the shares, with 15% going to the public and up to 5% going to current and past employees. The new majority shareholder will have an option to buy out small shareholders, should they wish to sell.

Serbia, Telekom Srbija (MTS)