Ljubljana to receive two binding bids for Telekom stake

10 Apr 2015

The Slovenian government will most likely receive two binding bids for its majority stake in Telekom Slovenije on Monday, Reuters reports, citing a source familiar with the process. The source, who did not wish to be identified, said that long-term suitors – investment fund Cinven and German communications giant Deutsche Telekom (DT) – are likely to lodge below market value offers for the telco next week. The news agency notes that the pair will bid EUR110 (USD118) per share, compared to the market price, which reached EUR132.6 on Thursday 9 April.

According to TeleGeography’s GlobalComms Database, the Republic of Slovenia directly owned a 62.54% stake in Telekom Slovenije as of 31 December 2014. Another 9.84% is held by state investment funds Slovenia Sovereign Holding (SSH, 4.25%) and Kapitalska druzba (KAD, 5.59%). The remainder is distributed among companies and individuals, including 11.66% held by domestic retail shareholders and 8.40% held by domestic corporate investors.

However, as per a notice of invitation published in April 2014, the actual stake on sale stands at 75.58%, and comprises the combined shares of the central government, SSH, KAD and three insurance organisations, plus 2.83% held by additional shareholders who wished to join the sellers.

Slovenia, Cinven, Deutsche Telekom (DT), Telekom Slovenije (incl. Mobitel)