On 30 September 2013 Schibsted Media Group announced the establishing of SnT Classifieds, a 50/50 joint venture together with Telenor, to provide online classifieds services in selected key markets in South America and Asia. At the same time it was announced that Telenor joins Schibsted and Singapore Press Holdings (SPH) in the South East Asian online classifieds joint venture 701 Search Pte (701), where the parties will own 1/3 of the shares each.
The transactions were completed 3 December 2013.
Schibsted receives a cash consideration of EUR 119 million from Telenor in connection with the transactions. A book gain of around EUR 115 million will be recognized in the result for Q4 2013. As of Q1 2014, both JVs will be consolidated using the equity method (one line consolidation of the after tax profit). The contribution will be part of the reported EBITDA. From closing date to the end of 2013 SnT Classifieds will be consolidated proportionately (JV consolidation). 701 Search will be consolidated with equity method already as of closing.
