Cesky Telecom general meeting clears merger with mobile unit Eurotel

0 Comments | AFP, April, 2006

PRAGUE (AFP) — Czech fixed-line telephone operator Cesky Telecom, 69.4-percent owned by Spanish phone giant Telefonica, says its general meeting has approved a merger with wholly owned mobile business Eurotel and the renaming of the combined company as Telefonica 02 Czech Republic.

The merger had already been announced by the two companies at the start of March. The new company is expected to take shape during the middle of the year with the expected benefits being felt from 2007.

At the same time, Cesky Telecom announced first quarter net profit of 2.1 billion koruna (73.9 million euros, 92.0 million US dollars), a rise of 23.1 percent compared with the same period a year earlier. In 2005, Cesky Telecom made a net profit of of 6.2 billion koruna, up 9 percent...