STOCKHOLM and NEW YORK -- Millicom International Cellular S.A. (STO:MIC)(NASDAQ:MICC - News), the global telecommunications company, today announced that it has agreed to acquire 100% of Amnet Telecommunications Holding Limited (Amnet) for an enterprise value of US$ 510 million. Completion of the acquisition, which is subject to customary approvals, is expected within three months.

Amnet began operations in Central America in 1997 and is owned by private investors. It is the leading provider of broadband and cable television services in Costa Rica, Honduras and El Salvador, provides fixed telephony in El Salvador and Honduras, and provides corporate data services in the above countries as well as Guatemala and Nicaragua. Across its various markets and product offerings, it has in excess of 350,000 corporate and residential customers. In the 12 months ended December 2007, it reported revenue of US$ 143 million and EBITDA of US$ 56 million.

Central America is Millicom’s most important region, accounting for 43% of the group’s worldwide revenue, 55% of EBITDA and 38% of subscribers. At 31st December 2007 Millicom’s business in Central America had 8.8 million subscribers contributing US$ 1.2 billion in revenue and US$ 608 million in EBITDA for the year. Millicom operates under the Tigo brand across Central America and is the number one mobile operator in Guatemala, El Salvador and Honduras.

Marc Beuls, President and CEO of Millicom commented, "This transaction is an important step in the development of our strategy for Central America. There is today a lack of fixed line infrastructure to carry broadband services but customers in these markets are increasingly demanding access to broadband services, and in order to satisfy this demand we are launching 3G services across the region in the second half of 2008. The acquisition of Amnet will bring us in excess of 350,000 high ARPU customers, and also dramatically extend our IP network, thereby enabling us to provide enhanced broadband and cable television in conjunction with our new 3G mobile service.”

Millicom International Cellular SA (Nasdaq: MICC)