As expected, the Czech Cabinet yesterday approved a proposal to continue privatization negotiations with TeleDanmark toward a better selling price. The Finance Ministry is to return to Cabinet with a new offer from TeleDanmark’s by May 15, 2001. A local newspaper quotes a privatization committee member as saying that the new bid could be a joint one from TeleDanmark and another potential bidder. Cabinet’s decision is more or less neutral for the stock, we believe: while there is the prospect of a somewhat better selling price, there is another delay in the privatization. The next key date in the sale is April 19, when a Ceske radio AGM should approve a dividend of CZK 324 per share. The stock now trades ex-dividend.
(Ondřej Daťka)