The objective of these independent valuation reports commissioned by the Ministry is to improve the states ownership control by, inter alia, making changes in Telenors value visible over time. The valuation reports have been carried out as if Telenor had been a quoted company.
Dresdner Kleinswort Bensons indication of Telenors equity value is NOK 45 billion to NOK 50 billion, including an estimated value of NOK 10 billion in respect of Telenors portfolio of international investments. Elcon Securities indication is NOK 40 billion to NOK 50 billion.
The increase in equity value during the last year is to a large extent explained by a considerable boost in equity market valuations of telecom operators world-wide in anticipation of general industry consolidation.
Improvement in results within the business areas Telenor Mobil and Plus also contribute much to the total increase in value. Some resolution of the uncertainties within the international businesses also had a positive effect. The injection of NOK 2 billion in new equity capital in the company is also part of the story.
Although the underlying development in the international projects has been positive over the last year, it is emphasised that the uncertainty is still high in several of the projects Telenor is involved in.
The Minister of Transport and Communications Odd Einar Dørum says he is pleased with the overall increase in value of Telenor, but points out that there still is substantial potential for improvement in some parts of the business.