SONERA + ACROSS WIRELESS: full story
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Tiistai 18. huhtikuuta 2000 11:36
SONERA CORPORATION STOCK EXCHANGE RELEASE 1 (3)April 18, 2000, 11.30 a.m.
SONERA SMARTTRUST AND ACROSS WIRELESS COMBINE FORCES TO BECOME A
LEADING PROVIDER OF WIRELESS E-COMMERCE ENABLING TECHNOLOGIES
Sonera Corporation has today signed and closed an agreement with
the shareholders of Across Holding AB; Schroder Ventures (74%),
Ericsson (25%) and the company's founder, Ulf Jonstr”mer (1%), to
purchase the entire share capital of Across Holding AB, the sole
owner of Across Wireless. Sonera will issue shares of Sonera as
consideration.
Sonera Corporation will transfer the Across Holding AB shares to
the ownership of its wholly-owned subsidiary Sonera SmartTrust
Ltd. Sonera intends to float Sonera SmartTrust within the next 12
months. As part of the transaction, Ericsson commits to invest in
the enlarged entity upon its planned Initial Public Offering an
amount equal to 50% of its consideration received in the
acquisition of Across Holding AB by Sonera.
The exchange ratio used in the transaction is 0.13327 Sonera
shares for each fully diluted Across Holding AB share. The fully
diluted number of Across Holding AB shares is 125,546,293 which
means that Sonera will issue 16,732,055 new shares. As a result of
this, the Sonera share capital will amount to 317.7 MEURO (310.5
MEURO) and total number of Sonera's shares will increase to
738,732,055 from 722,000,000. After the increase of the share
capital, the holding of the Finnish State in Sonera will fall
to53.3% from 54.5%. The purchase will not create goodwill under
Finnish GAAP.
SmartTrust develops and provides wireless e-commerce solutions
that enable secure wireless e-commerce based on Public Key
Infrastructure (PKI). SmartTrust's goal is to be the global leader
in secure wireless service platforms. Together with its partners
SmartTrust offers a complete solution consisting of security
components and service platforms for wireless operators and
service providers. SmartTrust's key customers and partners include
a number of leading mobile operators (e.g. diAx, New World
Mobility, etc.), service providers (e.g. Leonia, eQ Online, etc.),
systems integrators, and certificate authority platform vendors.
Across Wireless, headquartered in Sweden, offers a large selection
of wireless Internet-based service platforms, e.g., over-the-air
(OTA) service and device management, wireless Internet gateway
platform as well as a SIM-based WAP browser. In 1999, the turnover
of Across Wireless amounted to EUR 9.2 million. The company's
operating loss totaled EUR 7.3 million. Across Wireless expects
that its revenues will more than double in 2000 and 2001 in
relation to the prior years and reach break-even on an operating
profit level in 2002. The company employs 115 people. Across
Wireless has a broad customer base (50+) of mobile operators (e.g.
BT Cellnet, France Telecom, Singapore Telecom, Telenor, Telecom
Italia Mobile, and VoiceStream). Across Wireless works in close
cooperation with Ericsson and the companies jointly offer digital
TDMA-based mobile solutions in the Americas. Across Wireless is
also Ericsson's OEM partner.
The management and employees of Across Wireless are key to the
transaction and will continue as SmartTrust employees. They will
be incentivised through and beyond the IPO through the
participation in a management incentive scheme.
-SmartTrust is an international forerunner in secure wireless e-
commerce. Across Wireless strengthens our strategic focus in the
enabling technology arena of wireless e-commerce through its
product range, customers, partners and personnel, says Kaj-Erik
Relander, Deputy CEO of Sonera Corporation.
- SmartTrust and Across Wireless together will be able to provide
a complete range of open standard solutions for secure wireless e-
commerce for both mobile operators and service providers. This
will speed up the expansion and introduction of wireless e-
commerce and we hope to do this together with equipment vendors,
systems integrators and other partners to help our customers build
wireless businesses as fast as possible. The security solutions
are fully compatible with WAP. We make wireless e-commerce a
reality today, say Harri Vatanen, CEO and President of Sonera
SmartTrust and Anders Ingestr”m, CEO of Across Wireless.
- We are delighted to have the opportunity to be participating as
an investor in the combination of SmartTrust and Across Wireless.
More than 25 Ericsson customers already use solutions from Across
Wireless. We believe the combination of the strengths of the two
companies will continue to deliver value to our customers and
further strengthen our initiative to create an open framework for
secure wireless e-commerce. PKI and open standards will be key
factors driving the growth in wireless e-commerce, says J”ran
Hoff, Executive Vice President, Ericsson New & Special Business
Operations, Network Operator & Service Provider Segment.
SONERA CORPORATION
Jari Jaakkola
Executive Vice President
Corporate Communications & IR
For further information, please contact:
Harri Vatanen, President and CEO, Sonera SmartTrust Ltd
Tel. + 358 2040 3300
e-mail: harri.vatanen@sonera.com
Jari Jaakkola, Executive Vice President,
Corporate Communications & IR, Sonera Corporation
Tel. + 358 20 40 65170
e-mail: jari.jaakkola@sonera.com
Anders Ingestr”m, CEO, Across Wireless
Tel. +46 8 685 9300
e-mail: anders.ingestrom@acrosswireless.com
Companies on Internet:
sonera.com
smarttrust.com
acrosswireless.com
DISTRIBUTION:
HEX Helsinki Exchanges
Major media
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Source: KAUPPALEHTI ONLINE 2000-04-18
kauppalehti.fi
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