Svein Aaser elected new Chairman of the Board of Telenor (Norway)
Svein Aaser has been elected as the new Chairman of the board for mobile operator Telenor. Svein Aaser was CEO of Den norske Bank and DnB NOR from 1998 to 2007. He was previously CEO of Nycomed from 1987 to 1996. He has also been the CEO of Storebrand Skade, Nora Matprodukter and Stabburet Nora. He has served as president of The Confederation of Norwegian Enterprise (NHO) and as Chairman of Finance Norway (FNO). Today, Aaser is the Chairman of the Board of Statkraft and Det Norske Oljeselskap.
In a comment Svein Aaser said he is looking forward to working with the Board and management team at Telenor ASA. He said Telenor is among the largest mobile operators in the world and they have achieved a strong market position in a short period of time, both in Europe and in Asia. He looks forward to learning more about the organisation and its markets.
The Corporate Assembly also elected Anders Skjævestad to succeed Jan Erik Korssjøen as Chairman of the Corporate Assembly and thus Chairman of the Nomination Committee. Skjævestad has been member of the Corporate Assembly and the Nomination Committee since 2009.
Telenor and BCG study: mHealth to change the face of healthcare (Norway)
The Boston Consulting Group (BCG), in cooperation with Telenor Group, has now released the complete report on the “Socio-Economic Impact of Mobile Health”. The report explores the potential impact of mHealth solutions, such as how Norway can save $2 billion each year with remote monitoring solutions for the elderly and how Thailand can cure 40,000 cases of tuberculosis through SMS treatment compliance.
The report dives into the healthcare situations in Norway, Denmark, Sweden, Hungary, Serbia, Montenegro, Thailand, Malaysia, Russia, Bangladesh, Pakistan and India. It presents potential solutions for each of these markets that are possible through mobile communications.
Jon Fredrik Baksaas, CEO, Telenor Group, has said that they commissioned this report because they wanted to better understand how their solutions can help improve the healthcare situations in the countries where we operate. For instance, how can they increase efficiency in modern healthcare through remote monitoring solutions that enable the elderly people to live longer in their own homes?
The most notable healthcare challenges faced in Norway, Denmark, Sweden, Hungary, Serbia and Montenegro include their aging population and the rising costs of healthcare services. Solutions such as home monitoring aided by mobile technology can keep the elderly in their homes longer, easing the burden on care facilities. However, barriers to widespread mHealth solutions include privacy issues, interoperability challenges when sharing information electronically, and the lack of industry incentive when remuneration is often dependent on nights actually spent in the hospital, nursing facility or face-to-face consultations.
As countries in transition, Malaysia, Russia and Thailand face shared difficulty in ensuring proper maternal health and infant care, combating communicable diseases, and confronting new challenges such as obesity, cardiovascular disease and diabetes. Remote diagnostics and remote patient monitoring can be critical to bringing healthcare to the rural populations in these countries. However, the lack of common standards can prevent the spread of mHealth, along with limited commitment from regulatory bodies to ensure that mHealth happens.
Nations such as Bangladesh, Pakistan and India are struggling to deliver affordable healthcare to their citizens. Their resources are limited and much of their population is rural. mHealth deployment is currently limited in these countries, partly due to lack of awareness and action from the regulatory bodies. From maternal and infant health challenges to reducing disease, these countries need cost-efficient and widespread solutions that will help their citizens live longer and healthier. mHealth can fill these gaps, but access to mobile services needs to improve, along with government commitment and the creation of incentives to encourage the spread of mHealth.
Baksaas said that mHealth can be one of the keys to redefining and reinvigorating their struggling healthcare systems, as well as enhancing the healthy lifestyles and longevity of the citizens. The telecommunications industry is well-positioned to play a central role in the evolution of mobile health solutions worldwide.
Telenor hopes for early solution to investment issues in India (India, Norway)
Wireless operator Telenor is hopeful that it would be allowed to carry out its operations in India as well as re-bid in the new 2G auctions, following positive talks between the prime minister’s of the two countries.
According to reports, Telenor’s executive vice president & Asia head Sigve Brekke said that in the backdrop of the encouraging PM-level discussions between India and Norway in Seoul, they expect a solution to emerge and remain invested in India. He added that since the Norwegian government owns 54 percent of Telenor, they are hopeful of an early solution.
Brekke added that they are yet to receive a specific assurance from the Indian government, but are hopeful the 2G auction and their licence expiry dates will be aligned, paving the way for Telenor to particpate in the airwaves auction.
The company has earlier announced that it will end its partnership with Unitech Wireless and will sought out a new partner for a joint venture.
Unitech asks Telenor for US$ 150 million to end partnership in joint venture (Norway, India)
In an attempt to put an end to the dispute, Unitech has demanded a payout of US$ 150 million for its 32.7 per cent stake in the joint venture with Telenor, according to a report by ET. As per the report, the firm suggested this to the Company Law Board when asked if it would like to buy out Telenor’s 67.25 per cent stake or exit the venture.
The report reveals that a Telenor spokesperson has said that both parties have been asked by the Company Law Board (CLB) not to comment on the proceedings that took place within closed chambers. On their part, they will respect the directions of the CLB. What they have earlier stated it is that the partnership with Unitech is over, and it is their intention to form a new company to which Uninor’s assets can be transferred. This company will form the platform with which they will approach the upcoming auction.
Telenor to start new venture in India (Norway,India)
Norwegian telecom company, Telenor Group has issued a notice to Indian partner, Unitech Ltd., seeking compensation and indemnity, following the Indian Supreme Court’s order to cancel 22 licences held by the firm in India.
As per a report by the company, the Telenor Group holds Unitech Ltd. liable for the breach of warranties related to the cancellation of the licenses – seeking compensation for all investment, guarantees and damages caused by the Supreme Court Order. Telenor Group also makes an indemnity claim against Unitech for the failure to obtain spectrum in the strategically critical Delhi circle.
Pal Wien Espen, Group General Counsel, Telenor Group has said that the legality and validity of the licenses was a fundamental term of the share subscription agreement between Telenor Group and Unitech Limited. Further, they believe that the Supreme Court’s cancellation of the Unified Access Service Licenses (UASL) conclusively demonstrates a clear breach of Unitech’s warranties.
Espen added that the fact is that Uninor as a consequence of the judgment will no longer hold any UASLs. Telenor will therefore exercise its entitled right under the share subscription agreement to hold Unitech Ltd. liable to indemnify and compensate Telenor Group for its investment in India.
However, the company claims that they intend to continue their operations in the country through another venture, and are on the lookout for a new Indian partner. As per a company statement, this new entity will serve as the platform to approach the upcoming auctions for fresh licences as mandated by the Supreme Court. As a part of this process, the new entity will also seek requisite approvals from the Foreign Investment Promotion Board (FIPB) to allow Telenor Group to take up 74 per cent ownership. The telecom firm added that till such time that Uninor’s business is transferred to the new Indian company, Uninor operations will continue as before.
According to reports, Unitech has retaliated saying that it is shocking that Telenor intends to transfer the entire business to a new affiliated entity owned by itself. This not only shows complete disregard and oppression of the minority shareholder by Telenor, but is also against all principles of related party transactions. Telenor cannot transfer any assets of Uninor without the consent of Unitech because they have veto right in the shareholders’ agreement as well as in the articles of association for such matters.
Battered partnership of Telenor – Unitech (India, Norway)
The Telenor Group has issued a notice to its Indian strategic partner Unitech Ltd., soliciting compensation for damages to their mobile venture. Issuance of notice was an outcome of the Indian Supreme Court’s verdict, where it has ordered the cancellation of 22 Uninor licences. The licences were cancelled in light of a telecom scandal in 2008. As per the partnership, 67.25 per cent of the company was owned by Telenor, and the company has alleged that Uninor has breached the confidentiality obligation.
According to sources, the partnership hit a bitter note in 2011 when Unitech stayed out of Uninor’s US$ 1.7 billion rights issue and as a continuation to the split saga, the involvement of Unitech boss Sanjay Chandra in the 2G scam case compelled Telenor to ask for his resignation as the chairman. Further on, in October last year, Telenor was accused of complete mismanagement by Unitech and the case was cited to the Company Law Board.
Telenor has estimated the total worth of the mobile company to be around US$ 2.22 billion -2.42 billion, but inspite of disapproving the calculated figure by Telenor, Unitech has offered to purchase Telenor’s 67.25 per cent share as per the aforesaid calculation. Every allegation raised by Telenor has been rubbished by Unitech and affirmed that the company has not committed any breach of confidentiality.
Telenor seeks help from Norway to protect Indian investment (Norway, India)
Following the Supreme Court ruling in India wherein it revoked 122 2G licences, telecommunications company Telenor has turned towards the government in Norway to help protect the future of its US$ 2.9 billion investment in India. Telenor controls a 67.25 per cent equity stake in Unitech Wireless and offers nation-wide mobile services under the brand name Uninor.
According to reports, Rigmor Aasrud, IT Minister, Norway met with India’s Telecom Minister Kapil Sibal to arrive at Telenor’s future in the country following the cancellation of the licences. After the meeting Aasrud said that they had a good, fruitful and constructive meeting with the telecom minister and they took up Telenor’s case along with other issues.
Kapil Sibal stated that both the IT minister and the Telenor official met him to share their perceptions and they had a dialogue on this issue. He told them that the SC verdict will bring clarity to the sector, the sector is robust and enough spectrum is available. Further, the National Telecom Policy 2011 which will be put out will be fair and robust.
Sibal added that India’s market is full of opportunities and no-one should be in doubt on the investments to come into India.
Sigve Brekke , managing director, Uninor has said that they are talking to the government because they need to protect their investment and they also need to make sure that there is a framework for continuing their operations in the country.
Telenor aims to increase stake in Unitech to 74 percent (Norway, India)
Telenor Norway has reportedly revealed plans to increase its holdings in Unitech Wireless, which offers mobile services in India under the brand name ‘Uninor’, to 74 percent from 67.25 percent. The remaining stake is held by realty firm Unitech. The Norweign operator has reportedly told the Foreign Investment Promotion Board (FIPB) that it would induct other resident Indian shareholders in the event that its partner refused to support the rights issue.
According to reports, the two partners have been involved in a dispute regarding the US$ 1.6 billion rights issue, as Unitech has reportedly opposed Telenor’s plans for the issue. As per sources, Fredrik Baksaas, CEO, Telenor group, had previously stated that it would look at inducting another partner for its Indian operations if Unitech does not meet its obligations and participate in the rights issue.
