ECONOMY

D. Telekom to seal OTE deal in six months

Deutsche Telekom, Europe’s biggest telephone company, plans to close a deal to take control of the Hellenic Telecommunications Organization (OTE) in the second half of the year after getting the green light from Greece’s Parliament. Lawmakers approved the sale of a stake in OTE to Deutsche Telekom, ending a long quest for a strategic partner for the local operator. Parliament voted 151-144 in favor of the deal, which will allow the government to sell a 3 percent stake in OTE to Deutsche Telekom and hand over management. After the sale, Greece and the German telco giant will each hold 25 percent plus one share in OTE, boosting their presence in Southeast Europe’s telecoms market. Together, OTE and Deutsche Telekom will drive consolidation in Europe’s telecommunications industry, said Rene Obermann, the German company’s chief executive officer. Once the deal is complete, the chief executive officer of the company, to be named by Deutsche Telekom and subject to approval by Greece, will oversee a four-member executive management committee, with each side appointing two members. Another condition is that the CEO must speak Greek.