• Sweden's news in English

Norway's Telenor buys Bredbandsbolaget

The Local · 23 May 2005, 12:58

Published: 23 May 2005 12:58 GMT+02:00

Facebook Twitter Google+ reddit

"This is damned good - Telenor has strong financial muscles and great knowledge within telecoms," said Bredbandbolaget's managing director Peder Ramel to Svenska Dagbladet.

"This suits us - we want to be a challenger to Telia and take market share in the broadband market."

Bredbandsbolaget is currently the second largest provider of broadband services in Sweden with 335,000 customers, representing a 24% market share. The company was born at the end of the 1990s and founder Jonas Birgersson stands to pick up 30 million kronor from the deal.

Cybercity has 90,000 customers and 8% market share. It covers 70% of Denmark with its own DSL infrastructure.

The Swedish deal will give the Telenor board special satisfaction, after the company's attempt to merge with Sweden's Telia failed amidst name-calling and bitterness six years ago.

The plan was to join the two comapnies and then privatise them, to raise the cash to capitalise on the exploding telecoms industry. But fierce nationalism on both sides scuppered the deal, with the governments unable to agree on whether a Swede or a Norwegian would run the new business.

Sweden's industry minister at the time, Björn Rosengren, made an off-the-cuff remark in which he called Norway "the last of the Soviet states". The comment was broadcast throughout Norway and Rosengren was forced to apologise.

The final nail in the coffin for the deal was the disagreement over where the would-be $50 billion company should be based, with the Norwegians refusing to move east to Stockholm.

Telenor is betting that the number of broadband customers across the Nordic region will double to 9 million over the next five years and said it sees sees combined cost savings totalling 2.5 billion Norwegian kronor from the two acquisitions.

Story continues below…

Both Bredbandsbolaget and Cybercity will continue to operate under their current brands.

The acquisitions are expected to be completed during June and are subject to approvals from the respective competition authorities, Telenor said.

The Local/AFP

The Local (news@thelocal.se)

Facebook Twitter Google+ reddit

Today's headlines
Swedish PM visits Iraq for talks on Isis
Stefan Löfven (left) and Haider al-Abadi (right). Photo: Henrik Montgomery/TT

Stefan Löfven will discuss the offensive on Mosul with Iraqi Prime Minister Haider al-Abadi.

Illicit abattoir kept more than 100 bulls' penises
A couple of young bulls not related to the story. Photo: Jonas Ekströmer/TT

Dried cattle genitalia, goats' heads and hundreds of litres of lard were just a few of the many strange finds discovered when police raided a property in Sweden.

This is officially Sweden's most beautiful beard
The most beautiful beard in Sweden. Photo: Memo Göcek

According to a jury of barbers and 'well known bearded profiles', that is.

Presented by Invest Stockholm
One expat's strategy for making friends in Stockholm

You might think it’s hard to make friends in a new city. But if at first you don’t succeed – try something else!

Injured Swedish photographer protected by 'guardian angel'
Swedish photographer Paul Hansen on another occasion. Photo: Fredrik Sandberg/TT

Photographer Paul Hansen thanked his lucky stars for surviving sniper fire while covering the battle for the Isis-held city of Mosul in Iraq.

How Sweden is trying to smooth relations with Saudis
Swedish Prime Minister Stefan Löfven meeting Saudi Arabia's Trade Minister Majid bin Abdullah Al Qasabi. Photo: Henrik Montgomery/TT

Sweden's Prime Minister Stefan Löfven has visited Saudi Arabia a year and a half after relations turned frosty in a major diplomatic row.

My Swedish Career
'Swedish people love it, but they find it quite odd'
Scottish entrepreneur William Macdonald. Photo: Michael Campanella

Meet the web developer and entrepreneur using traditional Scottish ceilidh dancing to break the ice with Swedes.

Swedish photographer shot near Mosul
Hansen was being operated on in the Iraqi city of Erbil on Sunday. Photo: Nora Lorek/ TT

Paul Hansen, a photographer working for Swedish daily Dagens Nyheter, has sustained light injuries after being hit by what appears to be a sniper while covering the battle for the Isis-held city of Mosul in Iraq.

Trollhättan remembers school attack victims
'It was an attack on all of Sweden,' Education Minister Gustav Fridolin said. Photo: Thomas Johansson/ TT

Hundreds of people on Saturday turned out for a torchlight procession in the small town of Trollhättan in southwestern Sweden to honour the victims of last year’s deadly school attack there.

Sweden wants emission- free cars in EU by 2030
Photo: Jessica Gow/ TT

Sweden's environment minister on Saturday urged the European Union to ban petrol and diesel-powered vehicles from 2030.

Sponsored Article
This is Malmö: Football capital of Sweden
People-watching: October 21st-23rd
Sponsored Article
Where is the Swedish music industry heading?
Fury at plans that 'threaten the IB's survival' in Sweden
Analysis & Opinion
Are we just going to let half the country die?
Blog updates

6 October

10 useful hjälpverb (The Swedish Teacher) »

"Hej! I think the so-called “hjalpverb” (auxiliary verbs in English) are a good way to get…" READ »


8 July

Editor’s blog, July 8th (The Local Sweden) »

"Hej readers, It has, as always, been a bizarre, serious and hilarious week in Sweden. You…" READ »

Sponsored Article
Why you should 'grab a chair' on Stockholm's tech scene
Angry elk chases Swede up a lamp post
Sponsored Article
Stockholm: creating solutions to global challenges
The Local Voices
'Alienation in Sweden feels better: I find myself a stranger among scores of aliens'
People-watching: October 20th
The Local Voices
A layover at Qatar airport brought this Swedish-Kenyan couple together - now they're heading for marriage
Sponsored Article
Swedish for programmers: 'It changed my life'
Swede punches clown that scared his grandmother
Sponsored Article
Top 7 tips to help you learn Swedish
Fans throw flares and enter pitch in Swedish football riot
Could Swedish blood test solve 'Making a Murderer'?
Sponsored Article
‘Extremism can't be defeated on the battlefield alone’
Property of the week: Linnéstaden, Gothenburg
Sponsored Article
Stockholm: creating solutions to global challenges
Swedish school to build gender neutral changing room
People-watching: October 14th-16th
Sponsored Article
Why you should 'grab a chair' on Stockholm's tech scene
Man in Sweden assaulted by clowns with broken bottle
Sponsored Article
Where is the Swedish music industry heading?
Nobel Prize 2016: Literature
Sponsored Article
Last chance to vote absentee in the US elections
Watch the man who discovered Bob Dylan react to his Nobel Prize win
Record numbers emigrating from Sweden
People-watching: October 12th
The Local Voices
'Swedish startups should embrace newcomers' talents - there's nothing to fear'
How far right are the Sweden Democrats?
Property of the week: Triangeln, Malmö
Sweden unveils Europe's first elk hut
People-watching: October 7th-9th
The Local Voices
Syria's White Helmets: The Nobel Peace Prize would have meant a lot, but pulling a child from rubble is the greatest reward
Missing rune stone turns up in Sweden
Nobel Prize 2016: Chemistry
jobs available