Report
Russell Waller
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Tele2 (Neutral, TP: SEK110, +17%) Iliad Iliad/NJJ buys Kinnevik stake in Tele2 - implications for Iliad and the Swedish market

Iliad has announced that it is buying Kinnevik’s 19.8% stake in Tele2. In this report, we look at the implications for Iliad and the Swedish market ,drawing on our knowledge of other Iliad/NJJ owned-assets (Salt/eir/Play etc).
Underlyings
Iliad

Iliad is an operator in the French internet access & telecommunications markets. Co. divides its operations into three business segments: Broadband, Traditional Telephony, and Retail Telecom. Broadband includes Internet service provider operations, hosting services, user assistance operations & operations related to the rollout of the FTTH (fiber-to-the-home) network. Traditional Telephony includes switched landline telephony (One.Tel and Iliad Telecom), directory services (mainly the ANNU reverse look-up directory accessible by Minitel, telephone, Internet and SMS text messaging) and e-commerce operations (Assunet.com). Retail Telecom offers various mobile phones & services to customers.

Tele2 AB Class B

Tele2 is engaged as a telecom operator. Co. provides mobile communication services, fixed broadband and telephony, data network services and content services. The mobile service comprises various types of subscriptions for residential and business customers as well as prepaid cards. Fixed broadband includes direct access, which is its own services based on access via copper cable and other forms of access, such as fibre networks, wireless broadband and metropolitan area networks. Fixed telephony includes resold products within fixed telephony. The product portfolio within resold fixed telephony consists of prefix telephony, pre-selection (dial the number without a prefix) and subscriptions.

Provider
New Street Research
New Street Research

Provided by our team of experienced analysts, our work is idea driven, based on independence of thought, sector expertise, and firmly focussed on fundamentals and valuation.

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  • Pan European Telecom Services and Cable
  • US Telecoms, Cable, Satellite and Towers
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  • Pan European Telecom Services and Cable


Analysts
Russell Waller

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