Gibtelecom shares buy-back
Gibtelecom today announced that the Company’s shareholders have signed a Share Purchase Agreement, whereby HM Government of Gibraltar will buy-back Telekom Slovenije’s 50 per cent shareholding in the Company.
Commenting on the transaction, Gibtelecom’s Chairman and Deputy Chief Minister, The Hon Joseph Garcia, said “in the light of the ongoing sale of the Telekom Slovenije group this shares buy-back enables the Government to influence the way forward on the ownership of a communications business that plays an important role for Gibraltar in today’s digital economy. The Government did not want to leave the decision on a future strategic partner for Gibtelecom to be driven by others outside Gibraltar, as part of a wider sale of the Telekom Slovenije business”. Mr Rudolf Skobe, President of the Telekom Slovenije Management Board, added that “the Gibraltar Government and the two companies have been great partners for over seven years and we are proud to have been a part of the Gibtelecom success story. It makes sense for Gibraltar to determine what happens next to Gibtelecom”.
The transaction is due to complete at a Gibtelecom Board meeting scheduled to be held in December 2014, with a purchase price of €47.7 million. In moving forward under the ownership change, a Company spokesperson said that “for Gibtelecom it is business as usual and we expect to continue to operate with the Government as its sole shareholder on an arm’s length basis as is now the case”. Gibtelecom staff are to be briefed on the shareholder change at meetings scheduled to be held during the course of the day with Tim Bristow, Gibtelecom’s Chief Executive Officer, and Adrian Moreno, Chief Operations Officer.
17 November 2014