MTEL's BoD has called for an EGM on December 21 to discuss the 2005 results and proposed dividends. We believe the 2005 accounts are likely to be signed off by then, or the BoD will make changes to the articles of association to allow dividends to be paid from unaudited accounts.
Our view: We view the news positively as it lifts a long-standing overhang on the stock. However, we note that even after the recent changes in the articles of association allowing for shorter notice for payment, the earliest that dividends could be paid should they approve the proposed dividend will be the 4th of January 2007.