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Telecoms giant could sell stake in Moscow operator - source

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MOSCOW, March 1 (RIA Novosti) - The government could make a decision on selling a stake in Moscow fixed-line telephone monopoly MGTS before state-owned telecoms holding Svyazinvest is privatized, a government source said Wednesday.

According to the source, the government office will soon receive calculations showing how the sale of a stake in MGTS could affect Svyazinvest's value before privatization.

Svyazinvest is the largest minority shareholder of MGTS, with 28% of its voting stock.

Earlier, Information and Communications Minister Leonid Reiman said Svyazinvest could sell a 28% stake in MGTS for the right price.

"The state will not lose anything if a good price for the stake is offered," Reiman said.

Valery Nazarov, head of the Federal Property Agency, previously said four to six months were required to launch the holding's privatization process.

He added that some problems had to be resolved first to protect the government and the military, which are also Svyazinvest's clients.

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