Shareholders will sell Cesky Telecom together
Article Abstract:
Cesky Telecom (CT) (Prague, Czech Republic), telecommunication firm, should have a new majority shareholder by the end of Oct 2001. CT's main shareholders, National Property Fund of the Czech Republic (NPF) and TelSource (Netherlands/Switzerland), have agreed the way of its sale. They will sell a 51% stake in CT together. The share package will include NPF's 34% stake and TelSource's 17% stake in CT. The common sale will not include a 6.5% stake held by KPN. TelSource is a joint venture between KPN (Netherlands) and Swisscom (Switzerland). The remaining stakes in CT, a 10% stake held by Telsource together with KPN's 6.5% stake and a 17% stake held by the state, will be sold by the shareholders separately after a mutual agreement. A part of the contract should be the payment of a fine of about CEK 200 mil for the non-fulfilment of some development aims of CT, which were promised by TelSource during its entrance to CT in 1995.
Publication Name: Mlada Fronta Dnes
Subject: Business
ISSN: 1210-1168
Year: 2001
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The owners will sell Telecom together
Article Abstract:
Cesky Telecom (CT) (Prague, Czech Republic), telecommunication company, will be sold. The state has made an agreement with CT's strategic partner, the telecommunication firm TelSource, to sell a 51% stake in CT together. TelSource will receive one third from the proceeds and the state will take the rest. TelSource will pay a penalty of CEK 200 mil for not fulfilling development goals. By the common sale the state has avoided the problem with the blocking share of TelSource. After the sale, TelSource will held 16.5% and the National Property Fund, which represents the state, 17% of shares in CT. The 17% will be sold independently. One of the bidders for shares in CT is Vivendi (France) and the other one is Telefonica (Spain). Other candidates and large European telecommunication firms lack money, having invested large sums in licences for the operation of third-generation UMTS mobile phones.
Publication Name: Mlada Fronta Dnes
Subject: Business
ISSN: 1210-1168
Year: 2001
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The state will choose the future owner of Cesky Telecom
Article Abstract:
Cesky Telecom (CT) (Prague, Czech Republic), telecommunication firm, will declare a tender for its new owner by the end of Oct 2001. The original term was the end of Jun 2001. The sale has been shifted for the reason of negotiations between the firm's two main shareholders. The National Property Fund of the Czech Republic, which holds a 51% stake in CT, and TelSource with a 33.5% stake have agreed about their joint procedure during the sale of a 51% stake in CT. A part of the agreement is a condition that TelSource will pay a fine of CEK 200 mil for the breach of some development goals, which were promised by the firm in 1995, when it entered CT as a strategical partner.
Publication Name: Mlada Fronta Dnes
Subject: Business
ISSN: 1210-1168
Year: 2001
User Contributions:
Comment about this article or add new information about this topic:
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