Oct 8, 2018 3:10 PM CET
The European Commission today announced that it has approved the merger of Tele2 AB (publ) (“Tele2”) (Nasdaq Stockholm: TEL2 A and TEL2 B) and Com Hem Holding AB (publ) (“Com Hem”) (Nasdaq Stockholm: COMH) unconditionally. The board of directors of Com Hem has therefore resolved to apply for delisting of Com Hem’s shares from Nasdaq Stockholm. The last day of trading in the shares will be announced as soon as Com Hem has been informed thereof by Nasdaq Stockholm. Com Hem hereby also announces a preliminary timetable, with November 5, 2018 as expected closing date.
Today the European Commission approved the merger of Tele2 and Com Hem unconditionally. The merger will combine two highly cash generative businesses with clear synergies to create a leading integrated connectivity provider in the Baltic Sea region. Com Hem’s shareholders will receive as merger consideration SEK 37.02 in cash plus 1.0374x
B shares in Tele2 for each share in Com Hem outstanding as at completion of the merger.
Anders Nilsson, CEO of Com Hem and incoming President and CEO of Tele2, comments:
“As one company, we will be able to offer a portfolio of truly integrated services, with significant benefits for Swedish individuals, households, businesses and our shareholders as a result. My colleagues at both Tele2 and Com Hem can look forward to some very exciting years ahead, and I am sure that I am not the only one with high expectations.”
“My main focus now is our preparations for a rapid and efficient integration, to the benefit of both our employees and customers. Together with the new Leadership Team, I will also make sure to draw from the strength, knowledge and spirit of both the Tele2 and Com Hem organizations, as well as the Tele2 Board of Directors. When closing comes, we will be ready to kick off the integration.”
Allison Kirkby, President and CEO of Tele2 comments:
“We are nearing the closing of this merger and my ambition to create a leading integrated connectivity provider in the Baltic Sea region will soon be realized. I am immensely proud of the Tele2 team’s efforts throughout this process, as well as our incredible achievements the past years.”
“I will leave a Tele2 that is stronger and better positioned to act as an integrated customer champion in an ever more digitalized world. Once the merger is closed, I feel confident that the Tele2 team, including its new colleagues from Com Hem, will continue to challenge the status quo and fearlessly liberate people to live a more connected life.”
The merger is expected to close on November 5, 2018. See a preliminary timetable below.
Clarification on the closing date of the merger
The merger between Tele2 and Com Hem will be completed when the Swedish Companies Registration Office registers the merger and Com Hem is dissolved. In practice, the integration of the two companies will then be realized in several steps, concerning both commercial offerings, internal organization and way of working.
November 1, 2018 Last day of trading in the Com Hem share on Nasdaq Stockholm (subject to decision by Nasdaq)
November 2, 2018 The Swedish Companies Registration Office grants authorization to implement the merger plan and Tele2 applies for registration of the merger with the Swedish Companies Registration Office
November 5, 2018 The Swedish Companies Registration Office registers the merger and Com Hem is dissolved
Admission to trading of the newly issued Tele2 shares on Nasdaq Stockholm
November 7, 2018 Com Hem shareholders receive the Tele2 shares i.e. the non-cash consideration
November 7- 8, 2018 Com Hem shareholders receive the cash consideration
November 9-12, 2018 Com Hem shareholders receive cash from the sale of fractional shares
For queries, please contact:
Fredrik Hallstan, Head of PR
Tel: +46 (0)709 48 52 72
Marcus Lindberg, Head of Investor Relations
Tel: +46(0)734 39 25 40
The information in this press release was submitted for publication, through the agency of the contact persons set out above, at 15:10 CEST on October 8, 2018.
About Com Hem Group
Com Hem Group supplies broadband, TV, play and telephony services to Swedish households and companies under its two brands Com Hem and Boxer. The Group also includes the communication operator iTUX Communication AB which provides open fibre to service providers. We bring our 1.45 million customers a large range of digital-TV channels and play services via set top boxes as well as on-the-go for tablets and smartphones. Our powerful and future-proofed network with speeds up to 1.2 Gbit/s, covers 60% of the country’s households, making the Com Hem Group an important driver of creating a digital Sweden. Com Hem Group was founded in 1983 and has approximately 1,100 employees. Com Hem Group is headquartered in Stockholm and in 2017, Group sales totalled SEK 7,136 million. Since 2014 the Com Hem share is listed on Nasdaq Stockholm.