TELE2 AB INCREASES ITS HOLDING IN OÜ LEVICOM BROADBAND
New York and Stockholm - May 30, 2001 - Tele2 AB ("Tele2", "the Group")
(Nasdaq Stock Market: TLTOA/TLTOB), the leading alternative pan-European
telecommunications company, today announced that it has increased its
stake in OÜ Levicom Broadband, which operates fixed telephony, Internet
and Cable TV services in Estonia under the Tele2 brand, from 19.9
percent to 60 percent.
Following this increase in ownership, the operations and organizational
structures of Levicom Broadband will be merged with those of Tele2 Eesti
AS, which provides mobile telephony services in Estonia under the Q and
Tele2 Mobil brands and which is 95 percent owned by Tele2 AB.
The aim of consolidating the product development, sales, marketing and
customer relationship management of these two organizations is to create
synergies and establish economies of scale including a reduction in
costs and an increase in sales and market share. Consequently, Tele2
will become the first one-stop-shop operator in Estonia, providing a
full range of telecom and Internet services. The merger of the two
organizational structures will be finalized by 1 July 2001.
Johnny Svedberg, Head of Tele2's Baltic States and Eastern European
market area commented: "Our long term strategy is to be a full service
telecom provider for businesses and private customers in the Baltic
States and to maintain our price leading position. Today's announcement
further strengthens our foothold in this market since the deregulation
of fixed telephony earlier this year and will ensure that Tele2 remains
the strongest alternative to Estonian Telecom, the incumbent."
Tele2 AB, (formerly NetCom AB), formed in 1993, is the leading
alternative pan-European telecommunications company offering fixed and
mobile telephony, data network and Internet services under the brands
Tele2, Tango, Comviq and Q-GSM to more than 12 million people in 21
countries. Tele2 operates Datametrix, which specializes in systems
integration, Optimal Telecom, 3C Communications, operating public pay
telephones and public Internet services; Transac, providing billing and
transaction processing service; C3, offering co-branded pre-paid calling
cards and IntelliNet, the price-guaranteed residential router device.
The Group offers cable television services under the Kabelvision brand
name and together with MTG, owns the Internet portal Everyday.com. The
Company is listed on the Stockholmsbörsen, under TEL2A and TEL2B, and on
the Nasdaq Stock Market under TLTOA and TLTOB.
Johnny Svedberg, Tele2 AB Telephone: + 46 8 5626 4000
Andrew Best, investor enquiries Telephone: + 44 (0) 20 7321 5010
Tele2 Mediaservice (24 hours) Telephone: + 46 8 5626 46 26
Visit us at our homepage: http://www.Tele2.com
This information was brought to you by BIT http://www.bit.se
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