Hong Kong, 29 June, 2000 -- Sonera Corporation (HEX: SRA, Nasdaq: SNRA) will acquire full ownership of the iD2 Group. The major shareholders of iD2 Holding AB are Schroder Ventures, Ericsson, Cisco, Reuters and SAP.
Sonera Corporation will transfer the ownership of iD2 Holding AB to its wholly-owned subsidiary Sonera SmartTrust Ltd. Sonera intends to float Sonera SmartTrust within the next ten months.
The exchange ratio used in the transaction is 0.05546 Sonera shares for each fully diluted iD2 Holding AB share. Sonera will issue 4,802,431 new shares in consideration for 86,592,295 fully diluted shares in ID2 Holding AB. As a result of this, the Sonera share capital will amount to about EUR 319.7 million (317.7) and total number of Sonera's share will increase to 743,534,486 from 738,732,055.
After the increase of the share capital, the holding of the Finnish State in Sonera will fall to 52.9% from 53.3%. Sonera intends to record the transaction in accordance with the interpretation by the Finnish Accounting Board, under which no goodwill will be created.
The acquisition will allow Sonera SmartTrust to pursue new revenue opportunities by adding the iD2 product range of secure identification software including a certification management platform to its offering.
Since April this year, Sonera SmartTrust and Across Wireless together provided a range of open standard solutions for secure wireless e-commerce for both wireless operators and service providers.
iD2 adds the new PKI products to Sonera SmartTrust's portfolio and further strengthens Sonera SmartTrust's position in smartcard-based security solutions for wireless commerce.
Sonera (HEX: SRA, NASDAQ: SNRA) is an international player in mobile communications and mobile-based services and applications. The company operates and provides transaction and content services. It also provides advanced data communications solutions to businesses, and fixed network voice services in Finland.
In 1999, Sonera's revenues amounted to EUR 1.85 billion and profit before extraordinary items and taxes was EUR 0.5 billion.
Sonera SmartTrust develops and provides enabling solutions for wireless e-commerce. Together with its partners, Sonera SmartTrust provides components and service platforms for wireless operators and service providers.
Sonera SmartTrust's key customers and partners include a number of wireless operators (e.g. BT Cellnet, France Telecom, Telenor, Singapore Telecom, New World Mobility), corporate customers (e.g. Mastercard, Thomas Cook, eQ Online), systems integrators (e.g. HP, Tietoenator), and certification authority solution providers (e.g. Baltimore, Entrust, Verisign).
iD2, headquartered in Sweden, offers software for secure digital identification solutions on the Internet based on PKI (Public Key Infrastructure) and smart card technology. It offers scalable PKI products suited to large-scale implementation for financial institutions, government, telecommunications operators and Trusted Third Parties.
The company employs 95 people. iD2 has a broad customer base of over 150 companies (including D-Trust, Identrus member banks, MeritaNordbanken, Telia, Finnish Population Register Centre) and a range of significant solution partners (including Cisco, Compaq, Computer Associates, Bull, Microsoft, Racal Security, Siemens).