Telia is reshaping its business with a series of deals, announcing a recommended 3.1 billion Swedish kronor cash offer for broadband provider Bredband2 and a plan to exit Latvia.
The moves, announced alongside its second-quarter results, are part of the Swedish telecom operator's strategy to simplify its operations and focus on its core Nordic and Baltic connectivity markets.
Telia said its offer of 3.25 kronor per share for Bredband2 would complement its premium products with the smaller company's value-focused brand.
The company also said it signed a memorandum of understanding to sell its holdings in Latvian operators Tet and LMT, with a deal expected to close in 2026.
These actions follow the July 1 completion of the sale of its TV and Media business to Norway's Schibsted for 6.55 billion Swedish kronor.
"During the quarter, we continued to execute on our commitment to invest in our core business and actively manage our asset portfolio to become a simpler, faster and more efficient Telia," President and CEO Patrik Hofbauer said in a statement.
For the second quarter, Telia reported that like-for-like adjusted earnings before interest, tax, depreciation, and amortization rose 6.2%, driven by service revenue growth and cost-cutting measures.
The company's net income fell to 2.2 billion kronor from 4.9 billion kronor a year earlier, when results included a capital gain from a divestment in Denmark.
Telia reiterated its full-year outlook, which includes service revenue growth of around 2% and adjusted earnings growth of at least 5%.
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