Telecoms
March 11, 2011
UkrTelecom: The End of the UTLM Privatization Epic - The State Property Fund signed a deal with Austrian fi nancial consulting fi rm EPIC on the privatization of a 92.79% stake in UkrTelecom today (Mar 11). The deal values the company at UAH 10.57bn (USD 1.33bn), implying a price of UAH 0.608 (USD 0.076) per share. The privatization of UkrTelecom is a long-awaited step which is expected to lead to cost-cutting, as well as more active development of the company’s high-margin internet and 3G mobile services. We place UkrTelecom under review and plan to issue a valuation update for the company due to the change in its majority owner.
