Croatian Government To Sell Up To 23% Of T-Com Telecoms Co

ZAGREB, Croatia (AP)--The Croatian government decided Friday to sell 20-23% of shares in the Croatian telecommunications company - controlled by Deutsche Telecom - on the stock market.

The sale is tentatively set for September, Deputy Prime Minister Damir Polancec said.

Shares of HT-Hrvatske Telekomunikacije d.d., or T-Com, will be sold on the Zagreb and London stock markets, with the starting price of 100 kuna ($18.10).

It would be the second time shares of one of Croatia's most profitable companies are being sold by public tender. Late last year, the government sold 17% of shares in INA, the local monopoly.

Previously, the government usually sold shares in top companies to big foreign investors.

Croats will have the right to buy T-Com shares first, in amounts of up to HRK38,000 a person. They also would get one share for each 10 they buy.

It would be the second wave of privatization of T-Com. In 2001, Deutsche Telecom purchased a controlling 51% stake with the government controlling the rest.

Polancec said there has been "huge interest" for T-Com shares, so the government expects a "very successful" sale.

(END) Dow Jones Newswires"

Posted to the site on 15th June 2007