In other news, the Finance Ministry spokesman said that CEZ will get CZK 7.1 bn for the 34% stake in CEPS (national grid operator) from the Government. Note that CEZ agreed on the sale with the Ministry of Finance on September, 6. The price is CZK 600 m or CZK 1.0 per share higher than the previous unofficial indication of CZK 6.5 bn. Source: CTK. The book value of the 34% stake is CZK 1.4 bn. Hence CEZ would book a net profit of CZK 4.1 bn or CZK 6.9 per share assuming 28% corporate income tax. Note, however, that the price (based on an independent expert valuation) will be paid in five installments (half of the amount will be paid before the end of 2006 and the last installment is due in 2009) - its present value is therefore lower.
Tomáš Gatěk, Patria Finance