The two Scandinavian telecommunication giants Telenor and TeliaSonera have revealed they will merge their operations in Denmark.
The two companies, which have shared a mobile network in Denmark since 2012, are merging their Danish operations into one company, of which each will own a 50 percent share.
“We are making a necessary and natural move by forming a joint venture with Telenor, thus building on the network partnership we already have with them,” Robert Andersson, the EVP and head of Region Europe at TeliaSonera, said in a press release.
“By joining forces we can secure investments in Denmark – to the benefit not only of our customers but to Danish society as a whole.”
40 percent of market
The new jointly-owned company will service a total of 3.5 million mobile phone subscriptions and will have a combined mobile subscriber market share of about 40 percent.
The two companies cited revenue and profitability pressure and limited room for investment and innovation as the reason for the merger in Denmark.