Russia's state-run telecommunications operator Rostelecom could divest up to RUB46 billion (USD1.4 billion) of its shares next year, according to a report by business daily Kommersant. The paper said that the possible secondary public offering (SPO) is designed to help cut the firm's debt, wrote Reuters.
The possible 15% stake offering is provisionally planned for late 2014. The newspaper said the offering would be pricing the company's shares at a minimum of RUB120 apiece. Rostelecom's shares went up 0.2% at RUB106.43 apiece in early trading, the report detailed.
The Russian state telecom firm has repeatedly expressed its intention to sell shares to help reduce its corporate debt. The shares were accumulated during several buybacks along its reorganization phase, the report said.
In October, the state-run company sold a 2.7% stake to Deutsche Bank and the Russian Direct Investment Fund for USD237 million, the report added.
According to a Rostelecom spokeswoman, there were still no details of the possible share sale. The spokeswoman also said the matter had not yet been discussed by the board, Reuters reported.
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