OTE to increase Telekom Romania Mobile Communications capital by EUR800m

21 Jun 2019

Greek telco OTE Group has increased the capital of Telekom Romania Mobile Communications by EUR800 million ahead of a potential sale, reports Ziarul Financiar. OTE, which owns 70% of the Romanian mobile operator, decided at its general shareholders’ meeting in April to complete the operation by issuing new shares, thereby resolving the Romanian operator’s historical debts and paving the way for a potential disposal of the business. Minority shareholder Telekom Romania Communications, itself owned by OTE (54.01%) and the Romanian government via the Ministry of Communications & Information Society (45.99%), did not contribute to the capital increase or buy any new shares. The Romanian cellco’s debts have long been a thorny issue that has thwarted OTE’s plans to merge its fixed and mobile units in the country.