Austrian state holding company OeIAG’s supervisory board has mandated management to negotiate a shareholders agreement at Telekom Austria (TA) with America Movil (AMX), paving the way for the Mexican telco to take control of the incumbent.
Such an…
Austrian state holding company OeIAG’s supervisory board has mandated management to negotiate a shareholders agreement at Telekom Austria (TA) with America Movil (AMX), paving the way for the Mexican telco to take control of the incumbent.
Such an agreement would see OeIAG, which has a 28.4% stake in TA, and AMX, which has a 26.8% stake, well surpass the 30% threshold that triggers a mandatory takeover offer under Austrian law.
AMX wants to boost its stake to more than 30% so it can consolidate the company, while OeIAG is adamant that it maintains a blocking minority of at least 25% plus one share. The state holding also wants to ensure that TA’s headquarters remain in Austria.
“On this basis, further discussions between OeIAG and AMX are planned for the next few weeks,” the holding said in a statement.
Last week, OeIAG head Rudolf Kemler told journalists that a 10-year contract with AMX could be finalised within two to three weeks of the board approving key details of the proposed pact.
News of the accord first leaked in February, when excerpts of a draft document appeared in the public domain. This document, prepared by AMX’s lawyers, would grant OeIAG the blocking minority stake in return for agreeing to co-operate with the Mexican telco going forward. AMX would make an offer for all outstanding TA shares and invest €750m via participation in a capital increase. A later Austrian report said AMX would be prepared to inject up to €1.5bn.