Telekom to sell six% stake in Celcom

Telekom to sell six% stake in Celcom

BONN: German telecommunications giant Deutsche Telekom said on Friday it would sell its six percent stake in Malaysian operator Celcom to Telekom Malaysia.

Deutsche Telekom said the US$115 million it expects to earn from the sale would be used to reduce its debt, expected to hit 50 billion euros between now and the end of the year.

Telekom Malaysia, which already owns 31 percent of Celcom, had launched an offer to acquire the remainder of the company, which is expected to be completed later this month.

Over the next 18 months Telekom Malaysia wants to merge Celcom with its mobile phone subsidiary TM Cellular. -- AFP