Veon intends to close the deal to sell VimpelCom by October 13 – Kommersant
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Veon plans to complete all formalities relating to the sale of Russian assets before the bonds mature on October 13. The company announced that it had agreed with the buyer, owned by certain senior members of VimpelCom’s management team, on amendments to the purchase and sale agreement.
According to her press release, the new terms stipulate that the amount of compensation for the sale will be repaid through Veon Holdings bonds, which VimpelCom will return to a subsidiary of Veon Holdings. “U.S. and other regulatory approvals have been obtained for the transfer of approximately 95% of such Veon Holdings notes, which will be transferred immediately prior to the closing of the transaction. The remaining bonds of Veon Holdings will be transferred as soon as regulatory approval is received, which may happen after the transaction is closed,” Veon clarified.
In November 2022, Veon announced a tender for the sale of VimpelCom. In the same month, the management of the Russian company signed an agreement for its buyout by Beeline’s top management, headed by CEO Alexander Torbakhov. The deal was valued at 130 billion rubles. (about $2.1 billion). By according to Kommersant’s source, familiar with the details of the negotiations, part of the funds was intended to repay the debt of Veon Holdings BV on Eurobonds, and part – to the holding itself. In August 2023, Veon CEO Kaan Terzioglu left post of Chairman of the Board of VimpelCom.
Read more about the deal in the material “VEON exchanges debts with investors”.
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