Tele2 close to closing Network Norway purchase

14 Sep 2011

Sweden’s Tele2 has revealed that it has now acquired 99% of the shares in Norwegian cellco Network Norway, and says it is on course to complete its acquisition of the operator by 3 October 2011, Global Telecoms Business reports. As previously reported by CommsUpdate, in July 2011 it was announced that Tele2 Sverige AB had reached an agreement to acquire the stakes held by the three largest shareholders of Network Norway, the country’s third GSM licensee. Tele2 at that date revealed it would acquire 66.65% of Network Norway’s outstanding shares, 75.01% of its outstanding warrants and 67.76% of its fully diluted share capital, including warrants and options, having reached an agreement with Orkla ASA, Hafslund Venture II and Katalysator Telekom AS. Tele2 said it would pay around SEK890 million (USD140 million) in cash for the shares and warrants in a deal that valued Network Norway at SEK1.7 billion. Commenting on the acquisition, Thomas Ekman, Market Area Director Nordic at Tele2, said: ‘The acquisition of Network Norway will make Tele2 the clear number three mobile operator in the Norwegian telecom market with more than one million customers and gives us the operational leverage that we need to complete Norway’s third mobile network. We have had a good partnership with Network Norway through our joint venture Mobile Norway. With this acquisition, Tele2 will be able to take the leading price position and truly challenge the duopoly of the Norwegian market by delivering the best deal to all mobile customers in the country.’

Norway, Tele2, Tele2 Norge (old), Tele2 Norge (part of Telia Norge)