Syn — Capital/Financing Update 2020

Oct 23, 2020

Sýn hf.: Sale and leaseback of mobile infrastructure

Sýn hf.: Sale and leaseback of mobile infrastructure

Today Sýn hf. signed an agreement of exclusivity and heads of terms regarding a sale and leaseback of passive mobile infrastructure to international investors.

The terms indicate that the transaction will strengthen the Company’s balance sheet and the estimated realized profit from the transaction could amount to over six billion ISK. The terms of the leaseback agreement assume a 20-year lease which will guarantee Sýn’s access to the passive mobile infrastructure.  All active mobile equipment will be owned and operated by Sýn. The estimated proceeds and accounting treatment of the transaction depends on the structure of the agreement.

This agreement does not guarantee the transaction will take place, since it is subject to due diligence and possibly regulatory approval.  Therefore, there is still considerable uncertainty if the transaction takes place.  Further information will be provided when Sýn announces its quarterly results on November 4th.

Further information at fjarfestatengsl@syn.is