Telia Company on Tuesday announced that it has reached an agreement with Polhem Infra for the sale of its international carrier business, Telia Carrier, for a value of SEK 9,450 million on a cash and debt free basis.
At the same time, Telia Company enters a long-term strategic partnership with Telia Carrier, securing continuous world-leading network solutions to Telia’s customers.The Board of Directors has also decided to propose an additional dividend of 0.65 SEK/share, bringing the total dividend for 2019 back to 2.45 SEK/share which was originally proposed in January this year.
Telia Carrier claims that it holds the top position in the global ranking of companies with Internet backbone networks. Content, services and operator customers of Telia Carrier account for 65 percent of global Internet routes.
In connection with the divestment and change of ownership, a strategic, long-term partnership between Telia Carrier and Telia Company has been established, to safeguard the two companies’ unique ability to provision services and to develop new solutions for Telia’s customers. The change of ownership will enable Telia Carrier, with its 530 employees, to drive a level of investment in network development, services and customer care programs that brings benefits to content providers, operators and enterprises beyond that of any competitor.
The acquisition is Polhem Infra’s first investment in digital infrastructure. Polhem Infra is jointly owned by the Swedish Pension Funds; First AP Fund, Third AP Fund and Fourth AP Fund.
Allison Kirkby, President and CEO of Telia Company
The divestment of Telia Carrier highlights the value Telia has built in its digital infrastructure - and today we are able to crystallize some of that value. As a consequence, we can now fully concentrate on our Nordic and Baltic footprint, while we at the same time have secured future access for our customers to Telia Carrier's world-leading solutions, through a long-term strategic partnership.
Mikael Lundin, CEO, Polhem Infra
As an investor in Nordic infrastructure we will be a stable and long-term owner, committed to the company and its role in the transition towards sustainable and thriving societies globally.
