Greece poised to sell 10% OTE stake this year

14 Apr 2011

Greece is considering selling a stake of approximately 10% in incumbent fixed line telco OTE as part of plans to cut debt, reports Reuters quoting local press. The government is due to announce by the end of the week details on a privatisation plan for 2011-14. ‘If there is government approval, then the sale of a 10% stake of [OTE] will go ahead this year,’ Kathimerini wrote. According to TeleGeography’s GlobalComms Database, the Greek state holds 16% equity in OTE (including 3% via DEKA SA), plus one voting share and joint management control with the telco’s largest shareholder Deutsche Telekom (with 30%). GlobalComms adds that a put option expiring December 2011 entitles the government to sell 10% of OTE at a price 15%-20% above market value, while if Deutsche Telekom lifts its interest to 33% it will trigger a mandatory public offer under stock market rules.

Greece, Cosmote