Consortium B Four (composed of Ceske Radiokomunikace and Penta Investments), one of three bidders for 3rd mobile license in Slovakia has supposedly offered SKK 400m (USD 13.4m), CTK informed. Slovak Telecommunication Office (STO) should announce winner most probably at the beginning of next week as it has 14 days to decide from receiving the bids.
Our view:
We don’t expect any trading impact of this news as price SKK 100m (USD 3.35m), which was set as the minimum and has been widely seen as low. Costs of building its own network are more important, than the price itself. However we still see a very good chance of TEF O2 CR of winning the tender as it could provide significant competition to the two other existing global brands in the Slovak market – Orange and T-Mobile.