According to MF daily, TEF O2 CR received 25 offers from potential buyers of its 300 buildings with approx. 630,000 sqm. 5 out of 25 offers has been short-listed ranging from EUR 274m to EUR 190 (CZK 7.8bn to CZK 5.4bn). However there are speculations that first two offers (EUR 274m and EUR 218m) won’t be confirmed on Monday, therefore the real price for TEF O2 CR’s real estate portfolio is approx. CZK 6.0bn. The selection process has been criticized due to lack of transparency, e.g. additional inclusion of Ablon offer into tender or selecting companies with lower experience with Czech real estate market, e.g. Orco’s bid has not been chosen. Our view: We see the possible price of CZK 6bn for the transaction as rather low. The book value of the properties is approx. CZK 8.3bn. As the market speculated about the value of some CZK 9-10bn, which is substantially higher than what seems to be realistic, we see the news as negative. The difference of CZK 3-4bn represents some CZK 9.3-12.4 per share.