STOCKHOLM (dpa-AFX) - Swedish telecommunications firm TeliaSonera AB (TLSNY.PK) said Tuesday it has launched a voluntary takeover bid to buy the outstanding shares in Teo LT, AB for 0.637 euros per share in cash, or a total value of 76 million euros. Following the buy, TeliaSonera will hold 84.6 percent of Teo LT.
The company noted that the takeover bid is not conditional and has no minimum threshold of shares acquired. The implementation of the takeover bid starts today and shall end on June 29. Settlement will take place on July 4.
Teo LT is the largest integrated telecommunication, IT and television services provider in Lithuania.
Per-Arne Blomquist, executive vice president and CFO of TeliaSonera stated, 'The period for assessing the offer is relatively short, but it is fairly enough time for all shareholders to take advantage of this attractive window of opportunity.'
TeliaSonera said it will also continue buying shares of Teo LT in the open market at the same price of 0.637 per share during the takeover bid period.
'We are consistent in our promises and all shareholders now have equal opportunities to sell their shares in TEO LT at the same price as East Capital did on May 7,' Blomquist added.
In May, TeliaSonera agreed to buy 7.87 percent of the shares in Teo LT from East Capital for 0.637 euros per share, thereby increasing its ownership to 76.16 percent from the earlier 68.29 percent. The cash consideration was 38.9 million euros or about 347.5 million Swedish kroner for the shares acquired from East Capital. The takeover bid represented a premium of 5.3 percent compared with the closing market price as of May 7.
In Stockholm, TeliaSonera shares are currently trading at 43.28 kroner on a volume of 863 thousand shares.
Teo LT ended on Monday at 0.64 euros in Vilnius.
Copyright RTT News/dpa-AFX