COPENHAGEN, Denmark-Danish telecommunications services group Tele Danmark A/S announced it sold for about US$160 million approximately 70 percent of its 23.2-percent interest in Hungarian cellular operator Pannon GSM Tavkozlesi Rt.
The Pannon shares were acquired by three co-owners of the company: PTT Telecom of the Netherlands; Telenor of Norway; and Sonera (formerly Telecom Finland). The sale is expected to yield a tax-free income of about US$146 million, which will be included in Tele Danmark’s accounts for the second half of 1998. The transaction is subject to approval by Hungarian authorities.
Pannon was established in 1993 and launched services in March 1994. At the end of June, Pannon had 326,000 subscribers and a market share of about 40 percent, said Tele Danmark. The market penetration in Hungary is approximately 7 percent.
