Swedish telecommunications company Telia Company has concluded the sale of its Danish operations and network assets to Norlys. The deal, valued at DKK 6.25 billion, was executed on a cash and debt-free basis, Telia announced on Tuesday. Telia plans to utilise the proceeds to reduce debt, bringing its net debt/adjusted EBITDA ratio within the lower end of its targeted range.
Also Read: Telia Enters Final Binding Agreement to Sell Danish Operations to Norlys for DKK 6.25 Billion
This move aligns with Telia's strategic focus on markets where it can secure and maintain leading positions, the company said. Initially announced on April 25, 2023, the transaction received regulatory approval from the Danish Competition Council in the last week of February.
Transition to Norlys Group
Commenting on the successful closure of the transaction, Telia Company said, "Telia will continue to support Norlys to ensure a smooth transition for our former customers in Denmark, who will benefit from gaining access to a broader set of products and services from Denmark’s largest integrated energy and telecommunications group.”
With the completion of the transaction, Telia Danmark is now part of Denmark's largest energy and telecommunications group, Norlys. With approximately 1.9 million customer relationships and 800 employees of Telia Denmark being part of the Norlys Group, Norlys is now also a mobile operator.
"We are now fully competitive in the telecommunications area with mobile, TV, and internet on both fiber and 5G. Norlys will gain a significant nationwide market position, which will push the competition and bring us closer to the customers - among other things, we will take over 31 stores, which in the long term can sell our entire product portfolio," Norlys said.
Also Read: Telia to Sell Its Operations and Network Assets in Denmark to Norlys
Norlys Group
According to the official website, Norlys is Denmark's largest integrated energy and telecommunications group with approximately 800,000 owner-members, 1.7 million customer relations, 3,500 employees, and more than 100 years of experience. Norlys owns Netselskabet N1 and has its headquarters in Silkeborg and locations in Aarhus, Aalborg, Esbjerg, and Copenhagen, among others.
