Belarus Government Still Seeking Billion Dollar Bids for Stake in MTS
Published on: 9th Jul 2013
Note -- this news article is more than a year old.
The Belarus government intends to take another stab at selling its 51% stake in the mobile network, MTS Belarus, and is still seeking USD1 billion for the stake despite repeated failed attempts to sell it in the past.
The government owns just over half of the mobile network, with the other half owned by Russia's MTS -- which has previously indicated an interest in buying out the stake, but at a far lower valuation.
MTS has also said that it might sell its 49% stake in its Belarus subsidiary if the government sells its controlling stake to another company.
"All these years investors have been talking about the high price for the share - $1 billion," stated Georgy Kuznetsov. "In good years when the company worked well, we estimated our share at $1 billion and we have not reduced the price since. During the crisis it was said that our share probably cost $700 million. But now the company's earnings are on the rise and therefore waiting to sell it may be advised. I think it will cost $1 billion once again in a year".
The official remarked that proposals to buy out the share for $750 million are already available.