TELNY Telenor ASA (QX)

   By Dominic Chopping 
 

Norwegian telecom provider Telenor ASA (TEL.OS) said Thursday that Thai subsidiary dtac has agreed to pay Thailand's state-owned telecom company CAT Telecom Public Company Limited 9.51 billion Thai baht (296.8 million) to settle legal disputes.

The settlement is subject to approval from dtac's next annual general meeting.

Telenor said dtac and CAT have been engaged in numerous litigation cases over the 27-year concession period, mostly over differences in interpretation of the concession agreement.

Thursday's settlement will close all but two of the issues between dtac and CAT, and will also bar the parties from bringing new claims pertaining to the concession regime.

The two issues not included in the overall settlement with CAT are two industry cases related to revenue sharing and concerning excise tax and interconnection charges.

Telenor previously made provisions of around 400 million Norwegian kroner ($47 million) for some of the disputes now included in the settlement. The remaining NOK2.1 billion ($247 million) will be provided for in 4Q 2018.

The company said dtac's payment to CAT will be made in installments, with the first installment of THB6.8 billion made once approval from the AGM is obtained. The remaining THB2.7 billion will be made in smaller installments as the various cases are withdrawn from the courts.

-Write to Dominic Chopping at dominic.chopping@wsj.com; Twitter: @domchopping @WSJNordics

(END) Dow Jones Newswires

January 10, 2019 01:47 ET (06:47 GMT)

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