TeliaSonera has abandoned a planned sale of its Spanish mobile operator Yoigo due to the weak economic climate. At the company's Investor Day, the operator said it was unable to find an "acceptable solution" and will instead focus on turning Yoigo profitable. The operator expects Yoigo will turn EBITDA positive in Q4 2010 and cash flow positive at the end of 2011. On the M&A front, the company said it plans a "disciplined approach", focused on increasing ownership in existing holdings, such as its Baltic operators, looking at complementary acquisitions in its existing footprint and expanding in new markets in Eurasia. TeliaSonera also reiterated its full-year outlook for 2009, for net sales in line or slightly below last year, in local currencies and excluding acquisitions. Costs are expected to be below the 2008 level of SEK 33.8 billion, leading to a higher EBIDTA margin, excluding one-time items. Capex is planned at 13-14 percent of annual sales.
