OTE Sells Macedonian Mobile Network to Telekom Slovenia

Greece's OTE has sold its Macedonian subsidiaries, Cosmofon and Germanos Telekom Skopje to Telekom Slovenije for EUR190 million (US$251 million). The transaction is being processed through OTE's Cosmote subsidiary, OTE MTS Holding.

The sale was required as part of the agreement by Deutsche Telekom to take a 25% stake in OTE. Deutsche Telekom already owns its owns mobile network in the country, and the local regulator required that OTE sell its own mobile network as a condition of Deutsche Telekom's investment in OTE.

The sale and purchase agreements were signed by Mr. Michael Tsamaz, Cosmote Group Deputy CEO, and Mr. Bojan Dremelj, President of the Management Board of Telekom Slovenije.

Mr. Tsamaz commented: "We are pleased with the successful completion of the COSMOFON and GTS sale process, the interest demonstrated by a number of telecommunications groups as well as the final sale consideration. We wish to thank and congratulate Telekom Slovenije as well as all parties involved in the process. Furthermore we wish COSMOFON, GTS and their people, who we worked together with as members of Cosmote Group, every success in the future. I am confident that Telekom Slovenije, will have a successful course in the challenging FYROM market".

Cosmofon started its commercial operations in June 2003, under Cosmote's management, holding the second mobile licence in FYROM. In August 2005 Cosmote Group acquired 100% of the company's share capital. Germanos Telekom Skopje is Cosmofon's major distributor in the country with a network of 66 shops.

The sale agreement is subject to final approvals by FYROM regulatory authorities.

On the web: Cosmofon - Telekom Slovenije

Posted to the site on 30th March 2009