Telenor to exit Thai market with $3.92 billion sale of true stake

Telenor announced on Thursday that it will sell its 30.3 percent stake in Thailand’s True Corporation for $3.92 billion, marking its second major divestment from Asia in recent months and sending the company’s shares up around 8 percent.

Under the agreement, signed with Arise Digital Technology Company, owned by Khun Suphachai Chearavanont, Telenor will sell an initial 24.95 percent stake, with the remaining 5.35 percent to be sold two years after closing. The divestment is expected to complete within a few months.

True, one of Thailand’s largest telecom operators, serves approximately 60 million customers. Telenor said it expects to book an accounting gain of 14.7 billion Norwegian crowns at current exchange rates from the initial sale, with details on the use of proceeds to be provided next month.

The move follows Telenor’s sale of its Pakistan operations in December and reflects the group’s broader strategy to focus more of its business in the Nordic region, CEO Benedicte Schilbred Fasmer said.

Telenor has been active in Asian telecom markets since the 1990s, including operations in Bangladesh, Malaysia, Thailand, and Pakistan. The company noted that other Asian holdings, such as a 33.1 percent stake in Malaysia’s CelcomDigi and a 55.8 percent stake in Bangladesh’s Grameenphone, could also become subject to deals in the future.

CFO Torbjorn Wist said the company will continue operating its remaining Asian assets as usual while exploring potential structural opportunities to maximise value over time.

Telenor said the divestment is expected to improve return on capital employed and supports the company’s long-term strategy of concentrating on Nordic markets.