Acquisition of DNA Plc

Telenor Group

Posted on

9 Apr

2019

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Fast facts

Date of announcement:

9 April 2019

Status:

Pending

Cross-border:

Yes

Deal value:

EUR 1.5 billion

Dittmar & Indrenius > References > Acquisition of DNA Plc

We advise Telenor on its acquisition of a majority stake in DNA Plc, the Finnish telecom operator.

Telenor Group (“Telenor”) has on 9 April 2019 entered into agreements to acquire 54 % of all shares in DNA Plc (“DNA”) for EUR 1.5 billion. Telenor has entered into separate agreements with the two largest shareholders of DNA, Finda Telecoms Oy and PHP Holding Oy, which hold 28.26 % and 25.78 % of all shares in DNA, respectively.

The transaction is subject to the fulfilment of certain conditions, including the approval of the transaction by the general meetings of the relevant seller entities and the receipt of required regulatory approvals. Telenor expects the transaction to be completed during the third quarter of 2019.

Completion of the transaction will trigger a mandatory public tender offer by Telenor for the remaining outstanding shares in DNA. Subject to the outcome of the mandatory tender offer, Telenor’s intention is to keep DNA’s listing on the Nasdaq Helsinki stock exchange.

DNA, based in Helsinki, is an integrated fixed and mobile telecom operator with a solid market position in the fastest growing mobile market in Europe. The company is the third largest mobile operator in Finland, with 2.9 million subscribers and 28% market share. In 2018, DNA reported revenues of EUR 912 million and EBITDA of EUR 285 million.

Telenor Group is a global telecom operator, with 174 million customers and strong positions in eight markets across Scandinavia and Asia, leveraging on more than 160 years of proud history. Telenor has its roots in Norway, where the company has a strong market position, by running the world’s fastest mobile network and in 2018 launching Scandinavia’s very first 5G pilot and NB-IoT network. Majority ownership of all core assets enables strong governance and global scale benefits. Telenor is committed to responsible business conduct, driven by its purpose to connect its customer to what matters most and by the ambition of empowering societies. In 2018, the company reported revenues of NOK 110 billion and EBITDA of 42 billion. Telenor is stock-listed at the Oslo Stock Exchange and has currently a market capitalization of around NOK 250 billion (EUR 25 billion).

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