Telia remains confident about merger with Sonera

Telia, the Swedish national telecoms carrier, remains confident that its merger with Sonera of Finland is still on track.

Concerns were raised by a sharp fall 20% in its share price since the deal was announced in March.

Telia's shares now stand at a record low, after the company warned it might miss its revenue growth targets this year.

The merger would create the largest telecoms provider in the Nordic and Baltic region and would represent the first successful cross-border merger among European telecommunication companies.

However some market participants fear that current industry pessimism might threaten the merger or could force Telia to increase its bid.