Veon completes Russia exit as Vimpelcom sale closes (updated)

VEON

09/10/2023 14:43

(Adds detail in paragraphs 3-6)
       Oct 9 (Reuters) - Amsterdam-listed mobile telecoms
operator Veon  VON.AS  said on Monday it has completed its exit
from Russia as it closed the sale of its Russian business,
Vimpelcom, to senior members of the Vimpelcom management team,
led by CEO Aleksander Torbakhov.    
    "The transaction does not provide for any buy-back
arrangements and signifies a complete exit from the Russian
market for Veon," the company said in a statement.
    In November 2022, Veon announced plans to sell Vimpelcom for
130 billion roubles ($1.28 billion). Last month, it said that
subsequent amendments made to the sale and purchase agreement
had no material impact on the economic terms agreed last
November. 
    The deal was worth around $2.1 billion when first announced.
The rouble has lost about a quarter of its value since then.    
    
    Vimpelcom operates Veon's Beeline brand in Russia. Veon also
operates Beeline in Kazakhstan and Kyivstar in Ukraine.
    Veon's exit provides a rare example of a Western business
selling its operations in Russia for a sizeable sum. Many
companies have sold factories and brand rights for symbolic
one-rouble amounts, while Moscow has unilaterally seized some
assets and installed its own managers. 

    ($1 = 101.5200 roubles)
  

 (Reporting by Alexander Marrow; Editing by Emelia
Sithole-Matarise)
 ((alexander.marrow@thomsonreuters.com;))