German incumbent Deutsche Telekom is seeking “full control” of Greek counterpart Hellenic Telecommunications Organization (OTE), by buying shares on the open market, OTE CEO Panagis Vourloumis told local media.
Speaking at a press conference, he added…
German incumbent Deutsche Telekom is seeking “full control” of Greek counterpart Hellenic Telecommunications Organization (OTE), by buying shares on the open market, OTE CEO Panagis Vourloumis told local media.
Speaking at a press conference, he added that this method would be less controversial for the Greek government, which would be hesitant to sell its own 20% stake while the share price was so low..
A spokeswoman for Deutsche Telekom told TelecomFinance that these developments are not new, adding however that the operator has not announced any potential stake increase.
In May 2008, Deutsche Telekom bought a 25% plus one share stake in OTE and granted the Greek state two put options to sell further stakes. Using the first option, Greece sold a 5% interest to the German incumbent in 2009. Under a second option, Greece will be able to sell a 10% stake by 2011.
But a source close to the operators told TelecomFinance in July: “It’s true that there is one put option left, but the price is depressed so the timing is not right for the Greek state”.
OTE is owned by the Greek state (20%), Deutsche Telekom (30%), international institutional shareholders (29%), Greek institutional shareholders (9.9%), and other shareholders (11.1%), according to OTE’s website.
OTE declined to comment.
