Christmas Sale

The government plans to kick off a local and international roadshow in September to sell a key stake in Sri Lanka Telecom (SLT).rn

rnThe 10 percent to 15 percent slice is the largest asset sale planned by the government, which hopes to raise around Rs. 21 bn in privatisation receipts this year.

rnrnBOI chief Arjuna Mahendra told Lanka Business Online that telco sale would take place in December. To get the show on the road, PERC has hired DFCC Bank to structure the IPO.

rnrnTelecom analysts value the government 61 percent holding of SLT at around US$ 250 mn, giving a potential value of about US$ 40 mn to US$ 60 mn for the proposed IPO.

rnrnMahendra says a December sale is inevitable, despite some current misgivings on telco stocks globally following the Worldcom fiasco.

rnrnldblquote There is never a good time, but December is the earliest date,
dblquote he said.

rnrnSLT itself is undergoing some structural changes to brace itself to face the competition when its international voice monopoly en