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Telia Spreads Little Moved On Reports Of TV4 Sale

COMMUNICATIONS
  • Affarsvarlden reported yesterday afternoon that Telia is negotiating the sale of the TV4 network with potential buyers including Norway's Schibsted, Sweden's Bonnier, and Denmark's Egmont for a reported sale price up to SEK 5bn but potentially as low as SEK 3-4bn.
  • Telia bought Bonnier Broadcasting, including the TV4 brand, from Bonnier AB for SEK9.2bn in 2019.
  • Leverage has been on the rise in recent year at Telia, with rolling ND/EBITDA at 2.5x from a recent low of 2x in 2022 against management’s 2x-2.5x target.
  • Telia faces SEK 10.2bn in 2024 maturities versus a 9M23 cash balance of SEK 7.9bn so asset sales like this (and their exit from the Danish market expected to close in Q1) can be meaningful for refinancing and any leverage reduction.

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