Seven in race for Telekom stake

13 Dec 2010

Serbia’s Ministry of Finance has announced that seven companies have applied to participate in a tender for the 51% stake in Telekom Srbija being sold by the government. The seven are Deutsche Telekom, France Telecom, Telekom Austria, America Movil, Weather Investments, Turkcell and Vimpelcom. A statement from the ministry added that all seven qualify to participate in the tender and have been given the green light to take part in the next step in the process, which will be to submit a guarantee of payment in order to view Telekom’s sale documentation.

State Secretary of Finance Vuk Djokovic said that the seven companies will be required to submit binding offers no later than 21 February 2011. If there are several offers, a tender auction will be organised at the end of February in front of television cameras. He stated that the winner will be the company that offers the highest price. The winning firm will have to then obtain the approval of the anti-monopoly commission in Serbia, as well as in Bosnia-Herzegovina and Montenegro where Telekom Srbija has subsidiaries. Djokovic expressed the hope that the entire process could be completed by the end of the first half of 2011.