VEON confirms plans to close deal by June 1 to sell VimpelCom after obtaining permission from Russian authorities

MOSCOW. Feb 8 (Interfax) - VEON intends to close the deal to sell VimpelCom within the established timeframe by June 1, the holding said in a statement.

VEON announced the timeframe when the deal was first announced, though indicated that everything would depend on obtaining permission from the Russian regulators.

The company has announced that the deal has received approval from the government commission on foreign investment and the Federal Anti-monopoly Service (FAS).

Digital Development Minister Maksut Shadayev had previously reported regarding agreement on the deal. Shadayev said that the authorities would approve the deal under the condition that VimpelCom would buy at least 90% of VEON's Eurobonds from Russian investors, and the terms and conditions must be the same for all bondholders.

VEON at the end of November entered into an agreement to sell VimpelCom to local managers headed by Alexander Torbakhov, CEO of the Russian company. The holding is assumed to earn 130 billion rubles from the asset's sale, with the main amount of the deal to be paid owing to the Russian business transferring part of the holding's debt.