Telecom Italia Sells Oger Telecom Stake

Telecom Italia has announced that it has sold its 10.36% stake in Oger Telecom to the parent company, Saudi Oger for a total price of US$477 million. The agreement also includes the removal of a Telecom Italia commitment for US$150 million. The operation, which should be completed by the end of July, will result in a reduction of approximately 470 million euro in the net financial position of Telecom Italia Group and will have a positive impact of 90 million euro on the profit and loss.

The decision to transfer the Oger Telecom shares, foreseen in the industrial plan announced in March, is part of the Telecom Italia Group's strategic plan to rationalize its portfolio of shares in non-strategic international companies or on a purely financial basis.

Oger Telecom holds 55% of Turk Telecom, which in turn owns 81% of the local mobile operator, Avea. Oger also has an indirect 75% indirect shareholding in South Africa's 3rd network operator, Cell C."

Posted to the site on 2nd July 2007