Eircom last night confirmed, for the first time, that it is considering a flotation on the stock market.
In a statement the company said no decision had been taken by the board and the timing of any flotation would depend 'on market conditions and other factors'.
The news was delivered in a technical notice issued by Eircom seeking the consent of its bondholders to pay a dividend in the event that it re-floats on the stock market. There has been considerably speculation that Eircom is considering a return to the market. The company has appointed Goldman Sachs and Citigroup as its advisors.
It is believed the flotation could raise between €3.2 billion and €3.9 billion. Employees, who own 29% of the company through a trust, could receive payments in the region of €13,000 each. The remaining 70% is owned by Sir Anthony O'Reilly, Providence Equity Partners and George Soros. In the year ending March 2003, Eircom made an operating profit of €180m.
