By Nicole Lundeen
VIENNA--Telekom Austria AG's (TKA.VI) new ownership structure
has been given regulatory approval, the Austrian broadcasting and
telecommunications regulator said Tuesday, bringing the telecoms
provider's second-largest shareholder, America Movil (AMX), one
step closer to using the company as a springboard for expansion
into Eastern Europe.
At a meeting on June 16, the Telekom Control Commission approved
the new ownership structure created last month through a
shareholder agreement between Telekom Austria's two largest
shareholders--the Mexican telecommunications heavyweight America
Movil and the Austrian government; through its holding company
Oesterreichische Industrieholding AG. The regulator said the new
structure wouldn't impede competition in Austria and didn't present
any technical problems.
The shareholder agreement, which gives America Movil operative
control of Telekom Austria while guaranteeing that the company will
remained headquartered in the Alpine country, triggered a mandatory
takeover offer for Telekom Austria's remaining shares. As part of
the offer, America Movil is offering to buy approximately 197.9
million shares, or just under 45% of Telekom Austria's share
capital, for 7.15 euros ($9.69) per share.
The takeover offer began on May 15 and will run for eight
weeks.
Write to Nicole Lundeen at nicole.lundeen@wsj.com
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