Telenor purchases remaining 25 per cent of Comincom-Combellga from minority shareholders.

The Russian telecommunications market is experiencing rapid growth, and that is expected to continue in the foreseeable future. Comincom-Combellga provides voice and broadband services to corporate customers and is the third largest operator in Moscow. The company achieved a growth rate of 32 per cent in 2002, which resulted in revenues of US$ 85 million for 2002, EBITDA margin of 34 per cent and net profit margin 15 per cent. The trend is strong and the corresponding expected results for 2003 are revenues of around US$100 million and EBITDA margin of approximately 35 per cent.

 

Telenor's further investment is based on Telenor's positive experiences in the Russian market, and the potential that lies in further leveraging the company's core competencies as a leading operator in the corporate communications market in the advanced Nordic region. Telenor has opted to take full control of Comincom-Combellga to ensure flexibility in maximising the value of its investment.