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SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 6-K
REPORT OF FOREIGN PRIVATE ISSUER
PURSUANT TO RULE 13a-16 OR 15d-16 OF
THE SECURITIES EXCHANGE ACT OF 1934
Date: 1 August 2006, for the month of July, 2006
TELENOR ASA
(Registrant’s Name)
Snarøyveien 30,
1331 Fornebu,
Norway
(Registrant’s Address)
Indicate by check mark whether the registrant files or will file annual reports under cover of Form
20-F or Form 40-F.
Indicate by check mark whether the registrant by furnishing the information contained in this Form
is also thereby furnishing the information to the Commission pursuant to Rule 12g3-2(b) under the
Securities Exchange Act of 1934.
If “Yes” is marked, indicate below the file number assigned to the registrant in connection with
Rule 12g3-2(b):
TEL — OPTION GRANT
Primary insiders in Telenor have been granted
options as follows:
Option grant 2006/Total options outstanding/Total
shareholding
(incl. closely related parties)Baksaas, Jon
Fredrik(see notice to Oslo Stock Exchange on 23
June 2006) 100.000/500.000/57.852
Espen, Pål Wien 25.000/75.000/2.340
Giske, Knut 20.000/20.000/3.112
Johansen, Arve 65.000/265.000/51.462
Kopperud, Bjørn Magnus 40.000/90.000/2.777
Korsæth, Ragnar Holmen 40.000/83.333/5.670
Sivertsen, Stig Eide 40.000/40.000/28.765
Sørby, Morten Karlsen 55.000/200.000/7.794
Thygesen, Jan Edvard 55.000/205.000/56.278
Westlie, Trond 55.000/55.000/0
SHARE OPTION PROGRAM
Telenor ASA has granted share options to 134
managers and key personnel to subscribe for up to
2,660,000 shares (see notice sent to Oslo Stock
Exchange on 23 June 2006).
All options will vest the day after Telenor`s
reporting of the results for second quarter 2009.
The options may only be exercised four times a
year, during a ten-day period after the
publication of the company`s quarterly results.
The latest possible exercise is in the ten-day
exercise period subsequent to the results for
second quarter 2013. The exercise price is equal
to the average volume weighted price on the Oslo
Stock Exchange on the ten trading days prior the
date of grant. The share option program contains
conditions limiting financial gains above certain
thresholds.
Telenor has the right to settle exercised options
by paying an amount in cash corresponding to the
difference between exercise price and the volume
weighted trading price on the day after the
closure of the relevant exercise window.
DIGI RESULTS TODAY
Telenor`s subsidiary in Malaysia, Digi.Com, has
reported their second quarter 2006 figures to
the Kuala Lumpur Stock Exchange today. The
reported figures in NOK mill. are as follows:
- Revenues: 1,544
- EBITDA: 700
- EBIT: 466
- CAPEX: 199
Total number of subscribers: 5.440 million
DTAC RESULTS TODAY
Telenor`s subsidiary in Thailand, DTAC, has
reported their second quarter 2006 figures to
the Singapore Stock Exchange today. The reported
figures in NOK mill. are as follows:
- Revenues: 1,893
- EBITDA: 698
- EBIT: 363
- CAPEX: 543
Total number of subscribers: 10.622 million
TELENOR ASA SECOND QUARTER 2006 RESULTS
In the second quarter of 2006, Telenor`s
revenues increased by 37 per cent compared to
the second quarter of 2005, reaching NOK 22.6
billion. The underlying revenue growth was 12
per cent and the EBITDA margin increased from 34
to 35 per cent. Profit before taxes was NOK 3.9
billion. During the second quarter, the total
number of mobile subscriptions increased by six
million, reaching 96 million.
Highlights Second Quarter 2006:
96 million mobile subscriptions
Revenue growth of 37% — underlying growth of 12%
EBITDA margin increased from 34% to 35%
Strong operating cash flow
Outlook for 2006:
We are maintaining our outlook from the first
quarter.
The strong growth in mobile subscriptions during
2005 gives Telenor a solid foundation for
further growth in revenues. We expect a growth
in reported revenues of around 30%.
We expect a continued high growth in EBITDA, in
particular driven by the international mobile
operations. Telenor will continue previously
introduced initiatives and identify new means of
improving cost efficiency.
We expect the EBITDA margin before other income
and expenses for 2006 to be above 34%.
We expect high capital expenditure to continue,
and capital expenditure as a proportion of
revenues is expected to be above 20%. Capital
expenditure is expected to continue to be driven
by high subscription growth within Telenor`s
mobile operations in emerging markets.
A growing share of Telenor`s revenues and
profits is derived from operations outside
Norway. Currency fluctuations may to an
increasing extent influence the reported figures
in Norwegian Krone. Political risk, including
regulatory conditions, may also influence the
profits. We expect seasonal variations between
the quarters.
PRESENTATION MATERIAL
Please find attached the second quarter
presentation
TELENOR ACQUIRES MOBI 63 IN SERBIA
Telenor has won the auction in Serbia for a 100
per cent share of mobile operator Mobi 63, one
of two mobile operations in Serbia.
The winning bid of EUR 1,513 million, secures a
100 per cent share of Mobi 63, and a 10 year
licence for GSM 900/1800 and 3G operation for
the company, subsequently renewable for a
successive 10 year period on application.
`We are naturally excited at expanding our
footprint and adding this new company to the
Telenor Group. Serbia has long been an
interesting market for us. Telenor first entered
the Balkan region more than 10 years ago and we
currently have mobile operations in a number of
neighbouring countries. The acquisition of Mobi
63 will allow us to further our aim of creating
a strong Telenor operational hub in this
prioritised geographical area with long-term
synergies across the companies,` said Jon
Fredrik Baksaas, President and CEO, Telenor.
The population of Serbia is approximately 7.5
million. GDP per capita in 2005 was estimated at
USD 3 420. GDP growth in 2005 was 6.2 per cent
in USD. There are currently two mobile operators
in the country and according to Telenor
estimates the current penetration is 65%.
At the end of 2005, Mobi 63 had a reported
customer base of approximately 2.5 million, an
active customer base of around 2.1 million and a
market share of approximately 45 per cent.
Reported network coverage is approximately 90%
of the territory and over 95% of total
population. According to Telenor, estimated
revenues for 2005 were around EUR 233 million
with an EBITDA margin of about 53%. EBIT for
2005 was around EUR 96 million and CAPEX for
2005 was EUR 44 million. Mobi 63 is debt free.
The company has around 950 employees.
There is high demand for both advanced and
innovative services and for basic affordable
mobile communication. Telenor will utilize the
experience from the Telenor Group as well as
local Serbian expertise to enhance the company`s
performance and secure the best possible mobile
services for the Serbian market.
PRESENTATION MATERIAL
Please find attached the presentation material
that will be used in the conference call today
in relation to the acquisition of Mobi 63 in
Serbia.