Slovenian government to decide upon sale of Telekom Slovenia - SDH (updated)

Telekom Slovenije, D.d

04/06/2015 22:53

(Updates with quote, details, background) 
    By Marja Novak 
    LJUBLJANA, June 4 (Reuters) - Slovenian privatisation 
coordinator SDH said it will ask the government to decide upon 
the sale of state-owned telecoms operator Telekom Slovenia 
 TLSG.LJ  to investment firm Cinven  CINV.UL  which is the only 
bidder. 
    According to Reuters sources Cinven offered up to 130 euros 
per a share of Telekom, which would value the whole company at 
850 million euros. Cinven's offer is valid till June 10. 
 ID:nL5N0YP1NZ  
    "The supervisory board and the management of SDH believe 
that ... the sale (of Telekom) would be suitable and 
economically viable," SDH's said in a statement late on Thursday 
after its supervisory board meeting. 
    Telekom is the largest of 15 firms that were earmarked for 
privatisation in 2013. So far only four of those firms have been 
sold. 
    Cinven is bidding for a 72.75 percent stake controlled by 
the state but will later have to offer to buy the rest of the 
shares at the same price according to Slovenia's legislation. 
    A junior government coalition party the centre-left Social 
Democrats has said it did not support the sale of Telekom to 
Cinven while the opposition centre-left United Left party said 
Telekom should stay in state hands in the long-run because it is 
a strategically important company. 
    Prime Minister Miro Cerar's Party of Modern Centre has been 
in favour of the sale. It was not immediatelly clear when the 
government would take a decision on the sale. 
     Slovenia had planned to sell Telekom already in 2008 when 
it cancelled the sale in the last stages of the process, saying 
the bids were too low. 
    Shares of Telekom closed 3.0 percent higher on Thursday at 
101 euros while the blue-chip SBI index  .SBITOP  gained 0.51 
percent. 
     
 
 (Reporting By Marja Novak) 
 ((Marja.Novak@thomsonreuters.com; +386-1-5058805; Reuters 
Messaging: marja.novak.thomsonreuters.com@reuters.net)) 
 
Keywords: SLOVENIA TELEKOM/