Millicom confirms ambitious $9bn revenue target and reveals new services

Miami, 24 September, 2014 - Millicom (Stockholmsbörsen: MIC), the international
telecommunications and media company, confirms today its ambitious target of
reaching over $9bn revenue in 2017 as its rapid transformation into a
diversified digital lifestyle company continues.
The company also gave an update on its performance since the 2013 Capital
Markets Day and announced new services to reinforce the shift to consuming
mobile data.

Delivery and Transformation

The company highlighted the overall 9% revenue yearly growth rate (in local
currency) with its mobile business advancing 6%, cable rising by 16% and mobile
financial services up 41%.

In mobile, Millicom’s shift to data continued with 23% of its users now using
data services compared to 17% a year ago.

Over the past year rapid progress was made in executing the strategy to become a
digital lifestyle company offering a growing range of services. Initiatives
during this period have included:

  · Bundling, data and smartphones: entry-level smartphones now widely
affordable, fixed and mobile bundling of services, free Facebook data including
in two indigenous local languages, FIFA World Cup application amongst the top
five downloads in Tigo countries, Tigo Music the number one music distributor in
Colombia;
  · Digital and Home: DTH satellite pay-TV launched in five countries, two new
Tigo Sports TV channels in Paraguay and Bolivia;
  · MFS: mobile money now available in eleven markets, a return being earned on
mobile money accounts in Tanzania.

Two new initiatives in Digital Music in Africa

The company has announced today the launch of Tigo Music in Africa in the next
quarter as well as a partnership with Africori to fund, acquire and manage music
rights through a new venture called “Africa Music Rights”.

The merger with UNE: the potential

Millicom completed the merger between its local Tigo operation with the fixed
-line company UNE in Colombia last month.

The highly complementary nature of the services and footprint of each
organisation will create a strong and competitive integrated digital company. We
believe the combination of the two businesses will enable Millicom to become the
leading telecoms digital lifestyle player in Colombia.

Today’s update, subject to review, highlights UNE’s solid revenue growth rate,
its high quality infrastructure backed by a strong investment phase.

In 2014 Millicom expects the contribution from UNE to the consolidated numbers
to reach $550m of revenues, an EBITDA in the region of $120m (before integration
costs) and a capex approximating $120m.

Millicom confirms its initial stance on synergies which should exceed a net
present value of $600m (including integration costs) over time. More details on
synergies will be announced early next year following the completion of the
integration planning phase.

The challenges and opportunities ahead

The company outlined challenges to the execution of its strategy. These include
managing competitive pricing, foreign exchange and regulatory pressure;
guaranteeing the monetization of data services; offering a mobile money service
tailored to local conditions; developing relevant data services and successful
implementation of cost efficiency measures.

The update centred on the major opportunity ahead to advance rapidly to the
projected $9bn revenue target as the company’s profile changes with the
execution of the UNE merger, the take-up of Tigo Star and driving increased
revenue per user with compelling digital services and customer retention.

Speaking at the Capital Markets Day event in Miami today, Hans-Holger Albrecht,
Millicom’s CEO and President, said “The goals we set out are clear and
ambitious. We began to convert the company into a digital lifestyle provider
last year and now, with talented global and local teams, we are committed to the
rapid implementation of this plan. So Millicom’s growth and transformation is
well on track and we look forward with confidence to continued progress in the
coming years”.

Tim Pennington, Millicom’s CFO, highlighted today the company’s financial
priorities, commenting “Our digital lifestyle strategy provides us with a
significant revenue growth opportunity and, by reaffirming our ambitions for
EBITDA and capex margins, we are committing to deliver profit and cashflow
growth as well. Our business is evolving so we are taking action to ensure we
remain efficient and increase return on capital. Having completed the UNE deal,
we will also have a period of focusing on debt deleveraging.”
For more please visit: www.millicom.com or contact

Press Enquiries:

Julian Eccles, VP, Corporate Communications + 44 7720 409374; press@millicom.com

Investor Enquiries:

Nicolas Didio, Director of Investor Relations; +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 when it comes to providing digital lifestyle services to the world’s
emerging markets, giving access to the world, primarily through mobile devices.
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.