STOCKHOLM, Oct 6 (Reuters) - Telia has agreed to sell its international carrier business, Telia Carrier, to Polhem Infra for 9,450 million SEK ($1.06 billion) on a cash and debt free basis, the operator said on Tuesday.

"The majority of the proceeds from the sale will be used to strengthen our balance sheet and thereby provide a solid financial base for Telia Company and our shareholders," Telia Chief Executive Allison Kirkby said in a statement.

Telia 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, originally proposed in January. The company revised its proposal in March, due to the effects of the pandemic.

($1 = 8.8950 Swedish crowns) (Reporting by Supantha Mukherjee in Stockholm; Editing by Simon Johnson)