"Svyazinvest's state shareholding being 75% minus one share is included in the privatization program for 2004-2005 as the government's intent to sell the state shareholding," said the agency's source.
He explained that the offer was included with a proviso that the decision as to the number of shares to be sold would be taken later proceeding from economic advisability. "It may as well be less than 75%," added the source.
According to him, on Thursday Mikhail Fradkov will sign the privatization program for submission to the State Duma.
The Ministry of Economic Development and Trade was also tasked to develop draft presidential decree on excluding Svyazinvest from the strategic enterprises list and including it in the privatization plan, said the source.
Svyazinvest is one of the world's largest telecommunication holdings. Svyazinvest's structure includes seven large interregional companies, six electric communications joint stock companies, not part of the interregional corporations, Gyprosvyaz open joint stock company and largest trunk operator JSC Rostelecom.
The amount of Svyazinvest's capital stock exceeds 19.5 billion rubles and is made up of 19,518,337,220 1 ruble-worth ordinary shares ($1 is approximately 29 rubles). Currently none of JSC Svyazinvest's securities are in circulation on public markets.
JSC Svyazinvest's main shareholder is the state (Russian Federation) represented by the Property Relations Ministry (50% plus one share), the Russian Federal Property Fund (25% minus two shares). The blocking shareholding (25% plus one share) is owned by Cyprus' Mustcom Ltd.
