Carlos Slim’s America Movil (AMX) has agreed to acquire Austrian investor Ronny Pecik’s approximate 21% stake in Telekom Austria as part of its expansion plans into Europe.
AMX acquired nearly 5% of Telekom Austria shares from Pecik today (15 June)….
Carlos Slim’s America Movil (AMX) has agreed to acquire Austrian investor Ronny Pecik’s approximate 21% stake in Telekom Austria as part of its expansion plans into Europe.
AMX acquired nearly 5% of Telekom Austria shares from Pecik today (15 June). It will acquire the remaining 16% when it gains the requisite approvals from the Austrian government and other authorities, according to a company statement.
AMX expects the transaction to close this year.
Taking into account today’s nearly 5% acquisition, AMX’s stake in Telekom Austria currently stands at 6.7%. When the deal closes, its total shareholding in the Austrian incumbent will be about 23%.
Reuters reported with reference to an unnamed source with knowledge of the deal that AMX paid €9.50 per share and will split any potential stock price gains for the 21% stake with Pecik.
Describing itself as a new long-term strategic partner of Telekom Austria, AMX said the acquisition forms part of its “geographic diversification strategy”, providing “an attractive presence in central and eastern Europe”.
“AMX expects to develop a constructive relationship with Telekom Austria’s stakeholders and is confident about the company’s overall potential for development,” the company stated.
Pecik, who built up his stake in Telekom Austria with Egyptian investor Naguib Sawiris via investment vehicle RPR Privatstiftung, is expected to continue as vice-chairman of the telco’s supervisory board, to which he was recently elected.
State holding company OeIAG, Telekom Austria’s largest shareholder with a 28.4% stake, has welcomed AMX as a long-term strategic partner. OeIAG’s head of strategy and communciations, Bernhard Nagiller, said AMX has provided assurances that it will keep the company’s headquarters in Vienna, listed on the Austrian Stock Exchange and commit to a sustainable growth strategy.
Awaiting the outcome of its tender offer to boost its stake in Dutch telco KPN to 27.7%, set to close on 27 June, AMX has recently also made a series of small stake increases in that company.
