TeliaSonera has paid 1.1 billion SEK ($160 million) to increase its stake from 51% to 75.45% in TeliaSonera Asia Holding which owns stakes in Nepalese and Cambodian mobile networks. The holding company owns 80% of Nepal’s Ncell and 100% of Cambodia’s Applifone which operates under the brand “Star-Cell.”
Indirectly, TeliaSonera increased its ownership in Ncell in Nepal from 40.8% to 60.4%, but has also acquired a right to further increase its ownership in Ncell to 72.9% if certain conditions are met.
As for Cambodia’s Applifone, it is in the process of merging with a larger local rival – Latelz. The enlarged company will adopt Latelz’s brand name (Smart Mobile), leaving TeliaSonera Asia Holding with 25% of the newly formed company.
Commenting on the news, TeliaSonera’s Tero Kivisaari (President of business area Eurasia) said: “With a young and large population, relatively low mobile penetration and expanding economy, Nepal continues to provide a valuable opportunity for growth for TeliaSonera. We are committed to continue investing in the future development of the telecommunication infrastructure and services in the country… The Cambodian mobile market has been characterized by fierce competition and high churn rates and a consolidation was inevitable. We are therefore pleased to drive this development and thereby create a stronger mobile operator in Cambodia.”
[Via: CellularNews]