Serbia’s Telekom prepares to issue $543 million Eurobond

BELGRADE (Reuters) – Serbia’s state owned Telekom Srbija will issue a 500 million euro ($543 million) Eurobond, most likely in Luxembourg or Frankfurt, its chief executive said on Tuesday.

Telekom Srbija is the largest internet and cable TV provider in Serbia, a majority shareholder in Bosnia’s second-largest telecom operator Telekom Srpske and also controls Montenegrin mobile operator M:Tel.

“This will open possibility for a quick reaction in case of any new acquisition opportunities in the region,” its CEO Vladimir Lucic told Reuters in a telephone interview.

Lucic earlier told Tanjug news that some of the money raised will also be used for infrastructure development.

Serbia owns 58.11% of Telekom Srbija, while the company holds 20%, employees 6.94% and Serbian citizens 14.95%.

Lucic said it expects 17 billion dinars ($157 million) net profit in 2022, nearly 30% higher than last year.

($1 = 0.9209 euros)

($1 = 108.3400 Serbian dinars)

(Reporting by Ivana Sekularac; Editing by Alexander Smith)