Tele1 Europe Announces Exercise of Over-allotment Option

Tele1 Europe Announces Exercise of Over-allotment Option Tele1 Europe Holding AB (Stockholm Stock Exchange: TEUR, NASDAQ: TEUR) announced that the underwriters of its initial public offering have exercised the over-allotment option granted to them at the time of the initial public offering by Tele1 Europe and several existing shareholders, including members of management. The over-allotment option is comprised of additional 4,843,812 ordinary shares consisting of 3,229,207 secondary shares and 1,614,605 primary shares. On March 16th, 2000, Tele1's initial public offering was priced at $18.50 per ADS (SEK 160.79 per ordinary share). As a result of the underwriters exercising the over-allotment option, the board of Tele1 Europe Holding AB resolved to issue 1,614,605 ordinary shares at the original issue price of SEK 160.79. The issue is directed to Lehman Brothers International (Europe) as representative of the underwriters. Tele1 Europe is a fast growing data and telecommunications operator with operations in Sweden, Denmark, Finland and Norway. Tele1 Europe focuses on the Nordic corporate market with services geared towards providing integrated broadband communications solutions. Tele1 Europes network strategy is to provide high-capacity end-to-end connectivity to its customers. To date, Tele1 Europe has deployed 1,084 route km of backbone network, 110 route km of local access fiber network and over 100 DSL POPs. Tele1 Europe has over 7,500 corporate customers, of which over 1,100 are directly connected. Lehman Brothers International and Goldman Sachs International acted as lead underwriters in connection with the offering. For more information, contact: Cecilia Johansson, Investor Relations Phone: +46 8 5631 02 19 E-mail address: cecilia.johansson@tele1europe.se A written prospectus may be obtrained from Paul Ryb at Lehman Brothers (+44 207 260 2514) or Frankie Davies at Goldman Sachs International (+44 207 774 5466). The ordinary shares and the ADS may only be offered pursuant to a prospectus, which is part of the registration statement filed with the U.S. Securities and Exchange Commission. This announcement shall not constitute an offer to sell or the solicitation of an offer to buy nor shall there be any sale of these securities in any state in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such state. ------------------------------------------------------------ Please visit http://www.bit.se for further information The following files are available for download: http://www.bit.se/bitonline/2000/04/12/20000412BIT01210/bit0001.doc http://www.bit.se/bitonline/2000/04/12/20000412BIT01210/bit0002.pdf