Telenor Media sold for NOK 5.8 bn in cash to TPG
Fornebu
7 minute read
Telenor and Texas Pacific Group (TPG) have signed an agreement on the sale of Telenor Media for NOK 5.8 billion (Euro 722 million) in cash.
The sale of Telenor Media forms part of Telenor's long-term strategy to focus on core businesses. The deal represents a significant step in fulfilling the company's stated objective to realise value from non-core business areas. Completion of the sale, which is conditional on Norwegian regulatory clearance, is expected before the end of the year. The transaction will result in a book gain for Telenor of approximately NOK 5 billion (Euro 622 million).
Commenting on the transaction, Tormod Hermansen, Chief Executive Officer of Telenor, said: "We have maximised cash proceeds from Telenor Media by selling the entire company in a clear and simple cash deal, rather than realising value through a separate stock exchange listing. We are pleased with this transaction which shows good progress in the implementation of our strategy to focus on our core businesses. We are looking forward to working together with TPG as a partner."
Stephen Peel, Managing Director of TPG Europe, said: "We are pleased with the acquisition of Telenor Media, which is an attractive business with good growth prospects. Telenor Media has a strong position in Norway and a developing international position. We look forward to working with the management and employees of Telenor Media to continue growing the company to create a leading European directories business."
Peter Darpö, Chief Executive Officer of Telenor Media, said: "We are very excited about the prospects for Telenor Media as an independent business. With the financial support and commitment of our new owners, Telenor Media will be well positioned to pursue our strategic objectives both in its home market, Norway, and internationally."
Telenor was jointly advised on the transaction by Deutsche Bank AG and Credit Suisse First Boston (Europe) Limited. TPG was advised by Schroder Salomon Smith Barney.
Press conference
A press conference has been scheduled for 13.00 p.m. on Monday 17th September to be held at Telenor Expo, Universitetsgt. 7, Oslo.
Presentation materials in relation to the transaction shall be available on Telenor's website www.telenor.com .
Conference call for analysts
There will be a conference call for analysts at 11.00, CET (10.00 UK time). To connect, call +44 208 427 1204 for live call. Title: Telenor, Chairperson: Synnove Farstad
Action replay will be available until September 24. The number is +44 208 797 2499, the pin code is: 117932 #
About Telenor Media
Telenor Media is a leading directory information and advertising services company which operates in Norway and eleven other European countries including Spain, France, Poland, Finland, Russia, Ukraine, the Baltic States and the Czech Republic. In addition to printed directories, Telenor Media has developed leading internet portals for white and yellow pages. In the year ended 31 December 2000, Telenor Media reported revenues of NOK 1,655 million (Euro 204 million) and EBITDA of NOK 359 million (Euro 44 million) as a Telenor Group subsidiary. Telenor Media has approximately 2,400 employees, of whom approximately 1,500 are employed outside Norway.
About Telenor
Telenor is one of the most value-adding companies in Norway with a turnover of some NOK 37.6 billion in 2000 and around 20,200 manpower years at home and abroad. Telenor is a leading participant in the market within telecommunications, data services, and media dissemination. Internationally, Telenor is particularly focused on mobile telephony, the Internet, TV-networks and satellite communications. Telenor aims to offer domestic and international clients high quality solutions at competitive prices, and to contribute to increased value for shareholders. Telenor is quoted on the Norwegian Stock Exchange (TEL) and on NASDAQ in New York (TELN).
About Texas Pacific Group
Texas Pacific Group, founded in 1993 and based in Texas, San Francisco and London, is a private investment partnership with capital of approximately US$10 billion. The partnership has made significant investments across Europe and the USA in a broad range of industries, including consumer services/products (Punch Taverns, Del Monte, Beringer Wines), luxury goods (Ducati, J.Crew), technology (ON Semiconductor, Globespan, Gemplus), airlines (Continental, America West), and healthcare services (Oxford Health Plans, Magellan).
Commenting on the transaction, Tormod Hermansen, Chief Executive Officer of Telenor, said: "We have maximised cash proceeds from Telenor Media by selling the entire company in a clear and simple cash deal, rather than realising value through a separate stock exchange listing. We are pleased with this transaction which shows good progress in the implementation of our strategy to focus on our core businesses. We are looking forward to working together with TPG as a partner."
Stephen Peel, Managing Director of TPG Europe, said: "We are pleased with the acquisition of Telenor Media, which is an attractive business with good growth prospects. Telenor Media has a strong position in Norway and a developing international position. We look forward to working with the management and employees of Telenor Media to continue growing the company to create a leading European directories business."
Peter Darpö, Chief Executive Officer of Telenor Media, said: "We are very excited about the prospects for Telenor Media as an independent business. With the financial support and commitment of our new owners, Telenor Media will be well positioned to pursue our strategic objectives both in its home market, Norway, and internationally."
Telenor was jointly advised on the transaction by Deutsche Bank AG and Credit Suisse First Boston (Europe) Limited. TPG was advised by Schroder Salomon Smith Barney.
Press conference
A press conference has been scheduled for 13.00 p.m. on Monday 17th September to be held at Telenor Expo, Universitetsgt. 7, Oslo.
Presentation materials in relation to the transaction shall be available on Telenor's website www.telenor.com .
Conference call for analysts
There will be a conference call for analysts at 11.00, CET (10.00 UK time). To connect, call +44 208 427 1204 for live call. Title: Telenor, Chairperson: Synnove Farstad
Action replay will be available until September 24. The number is +44 208 797 2499, the pin code is: 117932 #
About Telenor Media
Telenor Media is a leading directory information and advertising services company which operates in Norway and eleven other European countries including Spain, France, Poland, Finland, Russia, Ukraine, the Baltic States and the Czech Republic. In addition to printed directories, Telenor Media has developed leading internet portals for white and yellow pages. In the year ended 31 December 2000, Telenor Media reported revenues of NOK 1,655 million (Euro 204 million) and EBITDA of NOK 359 million (Euro 44 million) as a Telenor Group subsidiary. Telenor Media has approximately 2,400 employees, of whom approximately 1,500 are employed outside Norway.
About Telenor
Telenor is one of the most value-adding companies in Norway with a turnover of some NOK 37.6 billion in 2000 and around 20,200 manpower years at home and abroad. Telenor is a leading participant in the market within telecommunications, data services, and media dissemination. Internationally, Telenor is particularly focused on mobile telephony, the Internet, TV-networks and satellite communications. Telenor aims to offer domestic and international clients high quality solutions at competitive prices, and to contribute to increased value for shareholders. Telenor is quoted on the Norwegian Stock Exchange (TEL) and on NASDAQ in New York (TELN).
About Texas Pacific Group
Texas Pacific Group, founded in 1993 and based in Texas, San Francisco and London, is a private investment partnership with capital of approximately US$10 billion. The partnership has made significant investments across Europe and the USA in a broad range of industries, including consumer services/products (Punch Taverns, Del Monte, Beringer Wines), luxury goods (Ducati, J.Crew), technology (ON Semiconductor, Globespan, Gemplus), airlines (Continental, America West), and healthcare services (Oxford Health Plans, Magellan).