The council is expected to get£107m from the sale of its 157,500,000 shares at a price of 68p each. Shares previously reached a high of£15.90.
'Retaining a 30.6% stake in the local telecoms provider by the council made little strategic sense to us.
'Given the yield of the shares, and the long-term growth strategy of Kingston Communications, there was also little incentive for the council to deploy£100m of its scarce capital in a shareholding in one company.'
The council would not comment on what the£100m would be used for.
Cllr Sloan added: 'While at this stage it is premature to discuss how this capital can be used for the long-term strategic benefit of the city, it remains the case that this capital can currently provide a better investment income deployed in a diversified managed portfolio.'
Finance & corporate services