SCANDINAVIAN CO

SCHIBSTED ASA (SCH) , Published 05/02/1998 00:00:00

The Board of Directors of Schibsted ASA have today approved the administration`s plans to join forces in the Nordic countries with the Swedish company Sandrew within the areas of film distribution, video distribution, sale of film rights to TV and movie theatre operations through a new company.

Schibsted and Sandrew have been engaged in negotiations regarding a merger of the two companies` activities within these areas since December and the negotiations are now in the final stages.

The planned co-operation will include all of Schibsted`s and Sandrew`s existing activities within movie theatre operations, film-, video- and rights sales within the Nordic countries. In Denmark Schibsted will increase its ownership to 100% in the companies Metronome Video and Metronome`s rights library by acquiring TeleDanmark`s 75% ownership stakes in these companies. These companies will become a part of the new Nordic company. The agreement with TeleDanmark has been concluded.

Schibsted`s total investments related to the acquisition from TeleDanmark and other investments related to the establishment of the new company will be approximately NOK 150 million.

Contact person: Executive Vice President Jan Erik Knarbakk, mobil phone +47 901 00 0019.