Sunrise confirms completion of the strategic partnership agreement with a Consortium led by Cellnex Donnerstag, 03. August 2017 - 18:45

Investor Information

Zurich, 03 August, 2017; 18:45 p.m. CET

Sunrise confirms completion of the strategic partnership agreement with a Consortium led by Cellnex

Following the announcement of 24 May 2017, Sunrise Communications Group AG ("Sunrise") announced today that following receipt of the necessary merger control clearance as well as fulfilment of all the other closing conditions, it has completed the sale of Swiss Towers AG (“Swiss Towers”) to a consortium led by Cellnex Telecom S.A. and including Swiss Life Asset Managers and Deutsche Telekom Capital Partners for a consideration of CHF 500m. Swiss Towers, which was a wholly-owned subsidiary of Sunrise, comprises a portfolio of 2,239 telecom towers across Switzerland. In conjunction with the sale and the conclusion of a long-term service contract regarding the provision of tower infrastructure services, Sunrise also entered into service agreements based on which Sunrise will provide certain (transitional) services to Swiss Towers, as well as a build-to-suit agreement based on which Sunrise is subcontracted to build new telecom towers.

Following the closing of the Transaction, Sunrise and Sunrise Communications Holdings S.A. intend to use a portion of the received consideration to repay and cancel CHF 450m of their existing term loans under the senior facilities agreement originally dated 13 January 2015 (as amended and/or restated from time to time). The prepayment and cancellation is scheduled on 04 August 2017.

UBS acted as lead financial advisor, ValueTrust Financial Advisors as carve-out advisor, Ernst & Young as accounting and tax advisor, and CMS Switzerland together with CMS Germany as legal advisors.

About Sunrise

Sunrise Communications Group AG (Sunrise) is listed on the SIX Swiss Exchange in Zurich and is the leading fully-integrated challenger delivering a full range of telecommunication services. Sunrise is the leading non-incumbent operator in both the mobile and landline retail voice markets, as well as the third-largest landline internet provider with IPTV. Sunrise had approximately 3.3 million customer relationships, as of 31 December, 2016.

Sunrise benefits from a 11,800 km nationwide state-of-the-art fiber network backbone. Sunrise provides mobile services through its own network based on GSM/GPRS/EDGE, UMTS/HSPA and LTE/4G technologies. On the fixed side, Sunrise leverages more than 600 points of presence in its fully-invested LLU network, with coverage of approximately 85% of households in Switzerland. The company has full access to the most advanced next-generation access technologies, such as vectoring, FTTS, FTTB and FTTH thanks to its long-term agreement with the incumbent, SFN and local utilities.

For the financial year ended December 31, 2016, Sunrise generated total revenue of CHF1,897 million and adjusted EBITDA of CHF611 million. Sunrise is headquartered in Zurich and had a total of 1,723 employees (including 109 apprentices) allocated to divers business locations across the entire country as of 31 December, 2016.

About Cellnex Telecom

Cellnex is the main independent operator of wireless communications infrastructure, with a total portfolio of more than 19,000 sites, including the DAS (Distributed Antenna Systems) nodes managed by CommsCon. In 2016 Cellnex Telecom obtained revenues of EUR707 million and EBITDA of EUR290 million. The company is present in Italy, Spain, France, the Netherlands and the UK. The company is listed on the Spanish stock exchange and is part of the selective IBEX 35 and EuroStoxx 600 indices.

About Swiss Life Asset Managers

Swiss Life Asset Managers has more than 150 years of experience in asset management. As of 31 December 2016, Swiss Life Asset Managers overall had a total of CHF204 billion assets under management. The Swiss Life Group is a SIX Swiss Exchange listed life insurance and pensions company with a current market capitalization of around CHF11 billion.

About DTCP (Deutsche Telekom Capital Partners)

DTCP is Deutsche Telekom’s investment management group with USD 1.5 billion assets under management and advisory, and a portfolio of over 70 companies. The group is dedicated to provide venture capital, private equity, and advisory services to the technology, media and telecommunication sectors. It operates and invests in the US, Israel and Europe.

Please see http://corporate.sunrise.ch/ir/reports-and-presentations for further information.

Sunrise

Uwe Schiller

Director Investor Relations

P.O. Box

CH-8050 Zürich

investor.relations@sunrise.net

http://www.sunrise.ch/ir/ir

Phone: +41 58 777 96 86

Disclaimer

The information contained in this media release has not been independently verified and no representation or warranty, express or implied, is made as to, and no reliance should be placed on, the fairness, accuracy, completeness, reasonableness or correctness of the information or opinions contained herein. None of Sunrise Communications Group AG, its subsidiaries or any of their respective employees, advisers, representatives or affiliates shall have any liability whatsoever (in negligence or otherwise) for any loss howsoever arising from any use of this document or its contents or otherwise arising in connection with this media release. The information contained in this media release is provided as at the date of this media release and is subject to change without notice.

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It should be noted that past performance is not a guide to future performance. Please also note that interim results are not necessarily indicative of full-year results.