LO and Telenor makes new attempt to sell media holdings

LO and Telenor makes new attempt to sell media holdingsOSLO. André Støylen (CEO. DNB), Arne Stokstad (CEO Amedia), LO leader Gerd Kristiansen and (behind) Knut Ivar Solnes (Chairman Amedia Telenor) during a press conference at Amedis where being informed decision about sale of shares in the media group.From the right Photo: Berit Roald / NTB scanpix

LO and Telenor are attempting to sell holdings in newspapers and news agencies like Budstikka, Nettavisen and NTB on their own after having secured an option in connection with the sale of Amedia,  Dagens Næringsliv writes.

In February the bank institution DNB bought the media group  Amedia for 395 million kroner from LO, Telenor and Fritt Ord (Freedom of Expression). The sellers were not satisfied with the price, and towards the end of the negotiations  the distance between the parties was so great that some very special option elements were added in order to bridge the gap between the parties, according to the newspaper.
One option package includes Nettavisen, which today is owned 50/50 by Amedia and Egmont, and Budstikka where Amedia own 31.5 percent. The second package includes NTB (Amedia own 43.1 percent), Hamar Arbeiderblad (21.5 percent), Gudbrandsdølen Dagningen (40 percent) and other companies.
– The owners said they believed these assets were worth more than the price we put on them. We said ‘OK, then you don’t have to sell them. ” But then we ended up with this solution in order to finally get an agreement , CEO André Støylen in  the  bank foundation DNB says .
He confirmed that there have extensive exploratory talks to see if there are buyers who are willing to pay more than the foundation would put on the table.
LO and Telenor has until August 22 to decide whether to exercise one or both options, ie six months after the sales agreement. They did not want to comment to the newspaper on Tuesday.

 

Source: NTB scanpix / Norway Today

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