24 Nov 2022 15:35

Selling VimpelCom to management is one of the options on the table - digital development minister

MOSCOW. Nov 24 (Interfax) - Selling VimpelCom to management is one of the options being discussed regarding the transaction of the VEON telecoms holding, Russia's Digital Development Minister Maksut Shadayev told reporters on the sidelines of the AI Journey conference.

"This is one of the arrangements under discussion," Shadayev said, noting that an application has not yet been received in the subcommittee of the government commission on foreign investment.

Citing sources, RBC previously said that VEON was preparing to sell VimpelCom to management in the near future. The publication's two sources have claimed that the transaction could be cashless, though a significant share of VEON's debt could be transferred to the Russian asset.

The holding had net debt of $8.2 billion at the end of the third quarter.

VEON on November 2 announced the search for a party to purchase VimpelCom. The holding has not provided any additional detailed information on the upcoming transaction, though it did say that it was looking into options in order to achieve the best result for all interested parties.

VimpelCom generates around more than half of VEON's revenue. The Russian asset increased income 16.1% to $1.19 billion in the third quarter, while revenue in terms of rubles decreased 6.1% to 70.7 billion rubles.