Merger in Colombia completes to provide a new era of digital choice

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| Source: Millicom International Cellular S.A.
Stockholm, 14 August, 2014 – Millicom (Stockholmsbörsen: MIC), the international
telecommunications and media company, announced today the completion of the
merger of its Tigo mobile business with the cable and fixed line operator UNE,
owned by Empresas Públicas de Medellín (EPM).
The merger of the two operations will:

  · create a business offering a comprehensive range of bundled digital services
to millions of households including mobile and fixed telephony, mobile and fixed
products
  · exploit the complementary offerings of Tigo with UNE and its affiliates and
  · execute a key component of Millicom’s strategy to double revenue by 2017 and
increase its profitability.

The Board of the new company comprises four Non-Executive Directors from
Millicom and three from EPM. There will be a meeting of the new Board later
today after which it will announce the appointment of the company’s officers and
management.

The combined company will generate more than $2bn annual revenue and have over
eight million customers.

Commenting on the completion of the merger today, Millicom President & CEO, Hans
-Holger Albrecht said:

“I am delighted that we have been able to conclude the merger with our
colleagues at EPM and UNE and thank everyone involved in its successful
conclusion. Together, we are creating a strong and exciting telecommunications
and media business which will provide a full range of digital services and a new
choice for the people of Colombia. But now it’s time for the hard work as we
start the integration process. So I wish all our current and new colleagues well
as they work to bring to Colombia’s consumers the benefits of a strong new
competitor.”

The Growing Colombian Economy

The merger takes place during a continuing period of strong economic growth,
with Colombia’s GDP rising by 6.4% in the first quarter and twelve-month growth
forecast by the IMF to be 4.5% in 2014.  Medellin, the home city of UNE, was
named by the Urban Land Institute and the Wall Street Journal as the “Most
Innovative City” in the world in 2013 ahead of New York and Tel-Aviv.

Millicom confirmed that its group net debt will increase by a total
consideration of around $1.3 billion and the newly-combined company will be
fully consolidated from today.

Millicom will give an update on the merger at its Capital Markets
Day (http://www.millicom.com/media/703993/Millicom_CMD_Invitation_Final.pdf) in
Miami on Wednesday 24 September.
For more please visit: www.millicom.com or contact:

Press Enquiries:
Julian Eccles, VP, Corporate Communications on +44 7720 409374 or Carolina
Corsello on +46707597452; press@millicom.com

Investor Enquiries:
Nicolas Didio, Director of Investor Relations on +44 203 249
2220; investors@millicom.com
About Millicom

Millicom is a leading international telecommunications and media company
dedicated to emerging markets in Latin America and Africa. Millicom sets the
pace in providing digital lifestyle services giving access to the world.
Operating in fourteen countries, primarily using the Tigo brand, Millicom offers
innovative and customer-centric products. Millicom employs more than 10,000
people and provides mobile, cable, broadband, TV content, online and financial
services to over 50 million customers. Founded in 1990, Millicom is
headquartered in Luxembourg and listed on NASDAQ OMX Stockholm under the symbol
MIC. In 2013 Millicom generated revenue of $5.16 billion and EBITDA of $1.9
billion.