Netherlands-based operator group Veon announced it finalised the sale of its Russian unit Vimplecom to Kopernik-Invest 3, a company set up by former Vimplecom executives and led by CEO Aleksander Torbakhov.
In a statement, Veon stated the deal will be expected to be completed by October 13 and it will have no material impact on its financials based on the original announcement of the deal in November.
The deal will amount to US$2.2 billion and Veon confirmed the deal overcame roadblocks set by the Russian government which was opposed to the deal. Veon will transfer its bonds to PJSC Vimplecom, a subsidiary of Veon Holdings that will hold notes until cancellation or maturity.
Russian regulatory approval enabled the company to transfer 95% of Veon Holdings’ bonds, which will be transferred as soon as outstanding regulatory approval is in place.
VEON Group CEO Kaan Terzioglu said: “I am pleased with the progress we have achieved in our exit from Russia despite the complexities of the transaction. Our exit strategy is the optimal solution for all our stakeholders – our customers, employees, creditors and investors worldwide. I would like to thank our stakeholders for their patience and continued support.”