AS EESTI TELEKOM

ANNOUNCEMENT

16.04.99

 

 

RESTRUCTURING OF ESTONIAN TELECOM COMPLETED

 

Hereby Estonian Telecom declares that pursuant to the resolution 

passed by the Tallinn City Court on April 15, 1999 the increase of 

the share capital of Estonian Telecom is registered. The share 

capital was increased by EEK 638 831 780 to EEK 1 373 832 780.

 

Based on the Restructuring Agreement that was introduced in the 

Offering Circular of Estonian Telecom the Subscription List of the 

Shares of Estonian Telecom and Share Subscription and Payment 

Settlement Agreement were signed on 

March 24, 1999 and accordingly the new shares were issued for the 

strategic partners as follows:

 

Telia AB		14 425 234 A-type shares with nominal value EEK 10 per share

Sonera Holding B.V   	14 425 234 A-type shares with nominal value EEK 10 per share

Baltic Tele AB	        35 032 710 A-type shares with nominal value EEK 10 per share

 

As determined in the Restructuring Agreement the above mentioned new 

shares were issued in exchange for all the shares of Estonian Mobile 

Telephone Company and Estonian Telephone Company owned by Telia AB, 

Sonera Holding B.V. and Baltic Tele AB.

 

Telia AB and Sonera Holding B.V. both acquired 1 717 289 A-shares 

during the IPO as agreed in the Restructuring Agreement.

 

The current ownership structure of Estonian Telecom is the following:

 

State of Estonia	37 485 000 A-shares = 27.28 %

				1 B-share

Public investors	32 580 422 A-shares = 23.72 %

Telia AB	        16 142 523 A-shares = 11.75 %

Sonera Holding B.V.	16 142 523 A-shares = 11.75 %

Baltic Tele AB	        35 032 710 A-shares = 25.50 %

 

 

Estonian Telecom now holds 100 % of the shares of Estonian Mobile 

Telephone Company and Estonian Telephone Company.

 

The subscribers paid for the new shares by means of contribution in 

kind, that was evaluated by KPMG Estonia and in the opinion of 

auditor’s the exchange rate of the shares was true and fair.

 

 

 

Raul Kalev

Manager/Public Relations

Estonian Telecom    

Tel: +372 6460 220