The Greek state may sell a further 10% stake in incumbent OTE as part of plans to reduce debt levels, reported Reuters citing local reports earlier this week.
Kathimerini reportedly wrote that the OTE sale could take place during 2011.
A government…
The Greek state may sell a further 10% stake in incumbent OTE as part of plans to reduce debt levels, reported Reuters citing local reports earlier this week.
Kathimerini reportedly wrote that the OTE sale could take place during 2011.
A government programme to raise E50bn from privatizations was reportedly due to be announced this week.
German incumbent Deutsche Telekom (DT), which owns a 30% stake in the operator, said it February it had no plans to increase its stake following reports that it wanted to buy shares on the market.
DT acquired a 25% plus one share stake in OTE in May 2008, and granted the Greek state two put options to sell further stakes. Using the first option, Greece sold a 5% interest to DT the following year. A second option enables Greece, which currently owns 20% of OTE, to sell a 10% stake by 2011.
However, this condition is reportedly nulled if the Greek state reduces its own holding, although there is no indication of further privatisation, reports add.
Meanwhile, OTE was reportedly talking to DT and other banks about a loan to help refinance a 1.37bn bond that will mature this month.
Announcing 3Q results last November, OTE revealed it had the support of shareholders to approach DT for a loan, which could be used alongside its own cash to refinance the bond.
Government officials were not available by press time.
