Poland wants to sell 3.97% stake in TPSA

Poland wants to sell 3.97% stake in TPSA

Poland wants to reopen talks with France Telecom (FTE) on selling its remaining 3.97% state-owned stake in Telekomunikacja Polska SA (TPS.WA), Deputy Treasury Minister Piotr Rozwadowski said Thursday.

France Telecom now owns a 47.5% stake in TPSA, which dominates Poland's fixed-line market and controls the country's number-two wireless operator Centertel.

Poland's left-wing government engaged in protracted and ultimately fruitless negotiations with France Telecom in 2004-2005 about disposing of the stake.

"We'd like to reopen these talks soon," Rozwadowski told a joint session of parliament's infrastructure and treasury committees.

"But selling our stake would give France Telecom more than a 50% stake in the operator, which means we would expect them to pay a premium for control," Rozwadowski said.

At current market valuation, 3.97% of TPSA would be worth 1.25 billion zlotys ($392.8 million).

At 1455 GMT, TPSA shares were trading down PLN0.80, or 3.4%, at PLN22.40 on the Warsaw Stock Exchange.