P4-Germanos merger hits PTC where it hurts

In exchange he will transfer 100% of the stocks in mobile phone distribution network Germanos and pay an additional EUR 35 million in cash to P4. "Except for the largest in Poland mobile phones distribution network, we will contribute international expertise in sales," said Vasilis Billis, business development director in Olimpia Development, investment company of Pannos Germanos. The transfer of Germanos is a blow to PTC, operator of Era and Heyah networks, as the distributor was generating about 40% of Era's sales in the segment of post-paid clients and 30% in the segment of pre-paid services. "We received information from Germanos about canceling a dealership contract," said Zbigniew Lazar, head of PTC's press office. "It seems that PTC has been stripped of its strategic direction," said Andrzej Piotrowski of the Adam Smith Center. (Puls Biznesu, pp. 1, 8) M.M.