The cash-strapped Greek government has officially appealed to Deutsche Telekom to up its stake in the country’s former state-owned operator Hellenic Telecommunications Organisation – better known as OTE. Bloomberg reports that Greek finance minister George Papaconstantinou has sent a letter to Deutsche Telekom’s management “regarding the further privatisation” of the firm, requesting that the “process be initiated in the context of the shareholder agreement.” The proposed sale is part of a wider asset sale programme being undertaken at the government to reduce its debt by EUR50 billion. Greece is prepared to sell its entire 20 percent stake in the former state-owned monopoly operator and has an option to sell 10 percent to Deutsche Telekom, which already owns a 30 percent stake and consolidates OTE under a shareholder agreement.

Deutsche Telekom spokeswoman Anna Bischof confirmed in an emailed statement to Bloomberg that the German firm had received the letter in which the government said it wanted to discuss the sale process for OTE. The Greek operator saw the steepest annual loss in sales among all of Deutsche Telekom’s subsidiaries in the first quarter as the unit continued to feel the effects of the country’s economic crisis. The Greek operator also faces pressure from its union (OME-OTE), which this week said it was to hold a series of 24 hour employee strikes in June. OTE shares rose 4.8 percent in Athens trading yesterday in response to the government’s approach to Deutsche Telekom.