Vodafone and Germanos cut link

Vodafone Romania has terminated its co-operation agreement with Germanos Romania, according to Romanian newspaper Ziarul Financiar. The termination of the cooperation between the two companies will be effective as of October 15, 2006.

According to press reports until the end of the year the cooperation between Vodafone Hellas and Germanos SA will be also terminated. Germnaos SA already has agreed to terminate cooperation agreement with TIM Hellas as of May 1 2007. Germanos considers that it will be in a position to replace the income that emerged from its cooperation with TIM Hellas through other activities and flows, which will arise from the Company’s integration in the commercial strategy of the OTE Group and CosmOTE. According to an analysis by Egnatia Financial Services, in the following weeks CosmOTE is expected to proceed with the acquisition of the 42% stake of Germanos S.A. owned by Panos Germanos and other shareholders. Recall that the acquisition will be performed by an SPV, and is expected to have been completed by early October 2006.

Subsequently the SPV will launch a public tender offer for the acquisition of the remaining shares of Germanos S.A. at EUR 19 per share, in accordance with Greek Law and regulations. It is noted that CosmOTE already owns 20.75% of Germanos S.A. outstanding shares.