Deutsche Telekom dismisses reports on raising OTE stake

ATHENS Fri Jan 31, 2014 7:06am EST

Related Topics

ATHENS (Reuters) - Deutsche Telekom (DTEGn.DE) dismissed as speculation media reports that it was considering raising its stake in its Greek unit OTE (OTEr.AT).

The German firm owns a controlling 40-percent stake in OTE. Greek newspaper Kathimerini reported late on Thursday, without citing sources, that it was interested in buying a further 10 percent stake currently owned by the Greek government and state-run pension funds.

"All this is rumours and speculation on which we do not comment," Deutsche Telekom spokeswoman Elpida Trizi said in an e-mailed statement on Friday.

The newspaper report followed a visit on Thursday to Athens by new Deutsche Telekom Chief Executive Timotheus Hoettges, when he met Greek Prime Minister Antonis Samaras.

"We are satisfied with the OTE's management and the development of the asset as well as with the cooperation with the Greek government and their support with regards to reforms in creating an investor-friendly environment," Trizi said in the e-mail.

Under the terms of a shareholder agreement between Greece and Deutsche Telekom in 2008, The German company has right of first refusal if Greece decides to sell any further shares.

OTE's shares were trading 3.7 percent higher at 10.87 euros at 1153 GMT, on volume of 1 million shares, against a 0.3 percent rise in the broader Athens index .ATG. This gives the company a market capitalisation of 5.3 billion euros.

(Reporting by Harry Papachristou; Editing by Karolina Tagaris and Pravin Char)

FILED UNDER:
Comments (0)
This discussion is now closed. We welcome comments on our articles for a limited period after their publication.