The cellular operator Eurotel (51% owned by Cesky Telecom) will lower two of its pre-paid tariffs as of March 11. The isolated impact on the company’s P&L will be minor, and will be diluted by the probable and consequential increase of minutes called. The move should also marginally increase Cesky Telecom’s revenues, since one of the tariffs is related to calls from Eurotel to Cesky Telecom’s network. No impact on the stock is expected.
Separately, the Czech Euro newsweekly reports that Shamrock Holdings and the Texas Pacific Group are interested in Cesky Telecom privatization. Neutral.
(Jiri Soustruznik)