ELTEL: Eltel’s Power Distribution Business Wins a Three-Year Contract in Finland at a Value of Approximately EUR 18 Million

Regulatory News:

Eltel (STO:ELTEL) has signed a three-year contract with Elenia Oy to build and maintain their distribution network in Finland. The value of the contract is estimated to be approximately EUR 18 million and the contract period starts in February 2017. This contract further confirms Eltel’s service delivery capability in the power distribution sector.

This three-year frame agreement with Elenia Oy is to build and maintain their distribution network in Finland. The contract comprises four geographical areas in the western part of Finland and in the Tampere region. The contract period starts in February 2017 and runs until January 2020. The contract also includes options for two additional two-year periods until January 2024. The value of the contract is estimated to be approximately EUR 18 million.

Juha Luusua, President – Eltel Power Distribution comments:

"Elenia’s high level of investments in the power network, driven also by weatherproof infrastructure, offers us good growth potential going forward. Since a few years, we have introduced new methods for example in underground cabling where Eltel’s quality of work and performance have constantly improved. The winning of three new areas for Elenia is good evidence of this. We aim to continue this development and boost further our delivery capabilities. Our partnership with Elenia is very important as Elenia is one of the frontrunners in the European power distribution business.”

About Eltel

Eltel is a leading European provider of technical services for critical infrastructure networks – Infranets – in the segments of Power, Communication and Transport & Security, with operations throughout the Nordic and Baltic regions, Poland, Germany, the United Kingdom and Africa. Eltel provides a broad and integrated range of services, spanning from maintenance and upgrade services to project deliveries. Eltel has a diverse contract portfolio and a loyal and growing customer base of large network owners. In 2015 Eltel net sales amounted to EUR 1,255 million. The current number of employees is approximately 9,600. Since February 2015, Eltel AB is listed on Nasdaq Stockholm.

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