Song Networks negotiating sale of Cegal AS

Song Networks negotiating sale of Cegal AS Song Networks Holding AB (NASDAQ: SONW, Stockholm Stock Exchange: SONW) is negotiating the sale of Cegal AS of Norway. The buyer, Intellinet ASA, is a Scandinavian full service ASP/ISP company. The purchase price will be approximately SEK 6.5 million, which will be paid in Intellinet shares The aim of selling Cegal is to achieve more dynamic and expansive growth in Cegal's ASP activities. The buyer, Intellinet ASA, can give Cegal greater market volumes to obtain greater profitability from public activities. As part of the agreement, Song Networks and Intellinet will join forces and sell ASP services to Song Networks' existing customers. Intellinet will in turn use Song Networks as lead supplier of data services to their customers. Cegal AS works with IT structure management and applications and today has around 30 employees. The acquisition will entail goodwill depreciation. Further information, please contact: Song Networks Holding AB Song Networks AS Ivar Strömberg, CEO Pål Vegard, Managing Director Phone: +46 8 5631 0001 Phone: +47 2150 2101 Mobile: +46 701 810 001 Mobile: +47 4000 0101 E-mail: E-mail: pal.vegard@songnetworks.no ivar.stromberg@songnetworks.se About Song Networks (former Tele1 Europe) (NASDAQ: SONW, OM Stockholm Stock Exchange: SONW) Song Networks is a rapidly expanding data, internet and telecommunications operator with activities in Sweden, Denmark, Finland and Norway. The company provides broadband solutions for data, internet and voice, to large and mid-range businesses in the Nordic region. Song Network is currently the only pan Nordic data, internet and telecommunications operator investing in local access networks with broadband capacity. The company is constructing networks in the 80 largest cities in the Nordic region. The access networks, which are linked by a long-distance network, will be one of Europe's fastest data and internet super-highways with an initial capacity for customers of up to one gigabit. The company was founded in 1995 and has around 1000 employees. The head office is in Stockholm and there are an additional 24 offices located in the Nordic region. For further information: www.songnetworks.net ------------------------------------------------------------ This information was brought to you by Waymaker http://www.waymaker.net The following files are available for download: http://www.bit.se/bitonline/2001/07/06/20010706BIT00110/bit0001.doc http://www.bit.se/bitonline/2001/07/06/20010706BIT00110/bit0001.pdf