MTG sells stake in Zitius Swedish Communications Operator

| Source: Modern Times Group MTG AB
Modern Times Group MTG AB (publ.) (‘MTG’ or ‘the Group’), the international
entertainment group, today announced that it has signed an agreement to sell its
total shareholding, consisting of 80% of the shares in the Swedish
Communications Operator Zitius Service Delivery AB (‘Zitius’), to TeliaSonera AB
(‘Telia’) for a cash consideration that values Zitius at an enterprise value
(100%) of SEK 380 million. The transaction is subject to regulatory approval
from the Swedish competition authority.
The Open Access network model is specific to the Swedish broadband market and
provides an open environment where multiple service providers can sign
agreements with a communications operator to market their services to the end
consumer, typically in multi-dwelling residential apartment buildings in towns
and cities.

Since acquiring Zitius in August 2012, MTG has invested in the expansion of the
company’s operations, and Zitius has won a number of additional distribution
contracts in 2013. This has expanded its number of connected households by 12%
and active households, subscribing to at least one service, by 34%.

Jørgen Madsen Lindemann, President and CEO of MTG, commented: “The Open Access
market in Sweden has evolved rapidly over the last 16 months. The increased
competition between communications operators has resulted in large contracts
changing hands, as well as significant improvements in the services available in
the different networks. This proves that the Open Access network model is both
sustainable and benefits consumers through freedom of choice. As a result, it is
no longer necessary for MTG to own Zitius.”

“We have a platform agnostic pay-TV strategy in the Nordic region and we will
continue to offer our free-TV and pay-TV channels to subscribers in Zitius’
networks, as well as distribute our channel packages through a broad range of
other third party pay-TV networks.”

For further information, please visit or contact:

Jørgen Madsen Lindemann, President & Chief Executive Officer
Tel:                      +46 (0) 8 562 000 50

Investors & Analysts
Tel:                      +46 (0) 73 699 2714

Tel:                      +46 (0) 73 699 2709
Modern Times Group (MTG) is an international entertainment group with operations
that span four continents and include free-TV, pay-TV, radio and content
production businesses. MTG’s Viasat Broadcasting operates free-TV and pay-TV
channels, which are available on Viasat’s own satellite platforms and third
party networks, and also distributes TV content over the internet. MTG is also
the largest shareholder in CTC Media, which is Russia’s leading independent
television broadcaster.

Modern Times Group is a growth company and generated net sales of SEK 13.3
billion in 2012. MTG’s Class A and B shares are listed on Nasdaq OMX Stockholm’s
Large Cap index under the symbols ‘MTGA’ and ‘MTGB’.

The information in this announcement is that which Modern Times Group MTG AB is
required to disclose under the Securities Market Act and/or the Financial
Instruments Trading Act. It was released for publication at 08:30 CET on 18
December 2013.