Press Releases

Budapest, March 16, 2005 09:00

Matáv has signed an agreement to acquire 51.12% of the shares of Montenegro’s telecommunications company Telekom Montenegro (Telekom Crne Gore AD, or TCG) from the Government of Montenegro for 114 million euros. Additionally, Matáv has agreed with minority shareholders on the acquisition of 15.97% of the company’s shares for a price of 17 million euros.

The closing of the transaction is expected to take place in early April 2005 and the purchase price will mainly be financed from debt. Matáv will fully consolidate Telekom Montenegro in its accounts from the time of the closing of the transaction.

In addition to the 67.09% stake in the currently signed agreements, Matáv intends to acquire further minority stakes and submits an offer for the remaining shares for a price of EUR 2.2 per share. The offer is in line with Matáv’s original bid, in which the company offered a maximum price of 165 million euros for the 100% of Telekom Montenegro.