Otello Corporation ASA

Potential Sale of Vewd (Opera TV) Minority Stake

As reported to the market on December 20, 2016, Otello had completed the sale of

the majority stake in the Vewd Software business (f/k/a Opera TV) (the

"Company") to Moore Frères & Co LLC ("MFC"), which today is the majority

shareholder and controls the board of directors of the Company (the "Board").

On February 20, 2018, Otello Corporation ASA ("Otello") entered into a share

purchase agreement (the "SPA") for the sale of its remaining ownership stake

(approximately 27-28.5%, depending on management options) in the Vewd Software

business. The SPA contains certain conditions for completion, such as approval

of the sale by the Board and a right of first refusal not being exercised.

Seven weeks after signing the SPA, MFC's appointed directors on the Board have

still not approved the proposed sale, despite Otello's good faith participation

in an unnecessarily extended approval process run by a sub-committee of the

Board.

Otello has therefore today filed a claim with the High Court of Justice in

England and Wales against MFC and the Company asking for an injunction and

expedited trial to compel the Company (acting through its Board) to give its

immediate approval to the transaction. The proceedings have been served on both

MFC and the Company.

We would add that until the Board has given its approval, Otello is unable to

serve notice on the Company and MFC offering them the right of first refusal.

Although Otello remains positive with respect to being able to complete the

transaction prior to the long-stop date in the SPA, which has been extended to

20 June 2018, no assurances can be given that such completion will take place.

Further announcements will be given if and when new material information is

available.

Petter Lade, CFO

Phone: +47 91143878

About Otello:

Otello holds shares in several different businesses, including AdColony which

helps publishers monetize their content through advertising and advertisers

reach the audiences that build value for their businesses, capitalizing on a

global consumer audience reach that exceeds 2 billion; Apps and Games (Bemobi);

"Performance & Privacy" (Skyfire);and Connected TV (Vewd).

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