MobilCom Agrees to Sell 3G Network

As widely expected, MobilCom's Supervisory Board has unanimously approved the Management Board's proposal to reach a binding conclusion for the sale of the UMTS infrastructure by the end of this week.

According to the contracts approved by the extraordinary Shareholders' Meeting, Mobilcom is obligated to dismantle the UMTS network by 31 December 2003. The promised financing by France Telecom will also lapse at this point. "The sale of the infrastructure, in terms of expenditures and risks, is a substantially more favourable alternative than the dismantling of the network components," explained Thorsten Grenz, CEO of Mobilcom.

Despite intensive efforts, the sale of infrastructure and licence viewed as a priority by Management Board and Supervisory Board was not successful."

Posted to the site on 9th May 2003