VEON transfers Alfa-Bank loan of 45 bln rubles to VimpelCom

MOSCOW. April 18 (Interfax) - VEON telecom holding subsidiary VEON Finance Ireland Designated Activity Company has transferred a loan of 45 billion rubles received from Alfa-Bank in December 2021 to the holding's Russian operating asset VimpelCom, the latter said in information.

VEON Holdings BV is no longer guaranteeing the loan.

The loan was raised for five years and was to be used for general corporate purposes, including the financing of intercompany loans to VimpelCom.

VEON transferred another loan of 45 billion rubles, raised from Sberbank for the same purpose, to VimpelCom earlier in April.

The United States imposed blocking sanctions in Alfa-Bank and Sberbank on April 6. Entities had until April 13 to wind down transactions with Sberbank, and have until May 6 to wind them down with Alfa-Bank.

LetterOne, part of Alfa Group of Mikhail Fridman and associates, is VEON's majority shareholder with 47.9%. A Dutch trust controls 8.3%, and the NASDAQ free float is 43.8%.

Fridman, sanctioned by the EU and UK, left VEON's board on March 1.

VEON had said it has no controlling shareholder so the sanctions against Fridman would not affect its operations.