ARMENTEL HAS NOT BEEN SOLD – IT’S OFFICIAL

TeleGeography, DC
Nov 2 2006

A spokesperson for Armenia’s Ministry of Transport and Communication
says it has not received any official confirmation from OTE of Greece
concerning the sale of its 90% stake in national PTO ArmenTel. Tamara
Ghalechyan, press secretary to the Ministry, confirmed the operator
had not been sold following recent press rumours which suggested the
stake had been purchased by UAE-based operator Etisalat. The Russian
Kommersant newspaper, citing a source close to the Armenian government,
reported that a consortium led by Etisalat, and including investment
fund Istithmar, had agreed to pay OTE USD600 million for its stake in
ArmenTel. The source said that the consortium won the tender earlier
this year, beating off rival bids from Russian companies AFK Sistema
and VimpelCom, and a consortium of VTEL Holdings and Knightsbridge
Associates. Etisalat has denied the rumour.