Hellenic Telecommunications Organization S.A. (“OTE”) announces that the sale of its 54% stake in Telekom Romania Communications S.A. (“TKR”) to Orange Romania has been successfully completed today. The final equity consideration reached €295.6mn.
OTE anticipates distributing to shareholders approximately €174mn, in the form of extraordinary dividend and incremental share buybacks. The dividend distribution, subject to appropriate corporate approvals, is expected to take place within 2021. OTE will proceed with a new announcement with the relevant details.
OTE’s Chairman and CEO, Michael Tsamaz, noted: “The sale of Telekom Romania Communications S.A. is a strategic decision enabling OTE’s rapid infrastructure rollout in Greece and enhancing its long term growth outlook and shareholder value. In Romania, it will support the growth of Telekom Romania Communications and drive market competitiveness benefiting Romanian customers and society.
OTE remains in the Romanian market with Telekom Romania Mobile Communications S.A., targeting positive cash flow generation through a revamped market approach. It is therefore a transaction that benefits all parties involved. I would like to thank Telekom Romania’s management and employees for all the company’s accomplishments to date and wish them a prosperous future.”
