Telenor has today entered into an agreement to divest 30% of the newly
established company Telenor Fiber AS in Norway to a consortium led by KKR and
Oslo Pensjonsforsikring. The agreed sales price represents an enterprise value
for the Norwegian fibre business of NOK 36.1 billion, generating proceeds of
approximately NOK 10.8 billion to Telenor. The transaction value represents 21x
the proforma EBITDA of NOK 1.7 billion for 2021.

The newly established company is a subsidiary of Telenor and will own the
passive fibre assets in Norway. This includes 130,000 km of cables, connecting
upwards of 560k homes. The company's assets will be transferred from Telenor
Norge in a demerger process prior to completion of the transaction. Telenor
maintains control of both the operations and processes in the company. Telenor
has conducted an extensive consultation process with the relevant government
authorities, who have given their overall feedback that the transaction
safeguards critical security and regulatory considerations.

"We are executing on the strategy presented at the Capital Markets Day in
September. This transaction highlights the value in our infrastructure,
strengthen our financial position and unlocks capital to support continued high
fibre roll-out in Norway. We are bringing in strong investors with a long-term
horizon. Following the transaction, Telenor will propose that parts of the
proceeds are used for share buy backs. We believe this transaction benefits our
stakeholders while safeguarding future investments in Norway's fibre", says EVP
and Group CFO Tone Hegland Bachke.

Telenor intends to use parts of the proceeds for share buybacks to mitigate the
effects of the new minority interests. Telenor's Board of Directors will hence
ask the General Meeting for a share buyback mandate. This is estimated to
constitute an amount of around 30 percent of the proceeds.
 
The agreement also includes a right for Telenor to acquire the minority stake in
the event of a potential future sale. Considering national and societal
interest, Telenor and the government have also entered into an agreement that
provides the government with the opportunity to exercise the right to acquire
the minority stake if Telenor chooses not to.

The transaction is expected to be completed early 2023.	

Investor Relations: 
Øystein Myrvold, (+47) 992 30 460 
Håkon Hatlevik, (+47) 901 46 070 

Media contact: 
Heljar Havnes, (+47) 90 81 20 81

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© Oslo Bors ASA, source Oslo Stock Exchange