According to MF daily, there is a possibility that state would have to make offer to buy back share when its stake at CEZ would exceed 66.7%; which is one of the factors for mandatory offer for buy back. This scenario could happen when CEZ buys 10% of its share back and then cancel them, this would lead to increase of state stake at CEZ from 60.61% to 67.34%. According to the Minister of Finance Miroslav Kalousek and his deputy Ivan Fuksa, there are several options that can be used to foreclose to the state mandatory buy back or if the selling of state stake will go the wrong direction it will be stopped. Our view: We see this news as neutral since there is no information regarding the amount of shares that CEZ plans to cancel once its planned 10% buy back is concluded. Also, it is unknown what price would state have to offer for the buy back. Over all we don’t believe that the mandatory state buy back is going to happen therefore we don’t expect any impact on today’s trading.