26 Mar 2024

VEON announces sale of stake in Beeline Kyrgyzstan, increasing the focus on its large markets

Amsterdam, 26 March 2024: VEON Ltd. (NASDAQ: VEON, Euronext Amsterdam: VEON), a global digital operator that provides converged connectivity and online services, announces that it has signed an agreement for the sale of its 50.1% indirect stake in Beeline Kyrgyzstan to CG Cell Technologies, which is wholly owned by CG Corp Global. 

The sale is a part of VEON’s strategy to simplify the Group’s structure and focus on its large markets where it can create scale with its DO1440 digital operator model, providing digital services in finance, entertainment, healthcare and education. The transaction values Beeline Kyrgyzstan’s business at 3.4x 2023 EBITDA (pre-IFRS16). 

“Over the past 2 years, we have transformed Beeline Kyrgyzstan into a winning operation, with 7 consecutive quarters of double-digit revenue growth, high penetration and quality of 4G services and solid foundations in digital offerings. I am proud of the work that the team has achieved under Andrey Pyatakhin’s leadership; and pleased to pass the baton to Chaudhary Group to develop Beeline’s work further and with greater focus, supporting the digital transformation of Kyrgyzstan,” said Kaan Terzioglu, Group CEO of VEON. 

CG Corp Global issued the following statement on the agreement: “We are very pleased to become a major investor in the Kyrgyzstan telecommunications market with the purchase of the majority stake in Beeline Kyrgyzstan. We are excited to cooperate with our partners in this joint venture as we continue to develop the business, ensuring that customers continue to get the modern, high-quality and reliable connectivity and digital services they have come to expect.” 

Completion of the sale of VEON’s stake in Beeline Kyrgyzstan, which is held by VIP Kyrgyzstan Holding AG, to CG Cell Technologies Designated Activity Company is subject to relevant regulatory approvals. 

About CG Corp Global 
CG Corp Global is a multinational conglomerate having spanning interests and significant presence in various sectors including FMCG, hospitality, education, communications, financial services, infrastructures and real estate. Headquartered in Dubai, the corporation encompasses over 160 companies and 123 brands across the globe. 

About VEON 
VEON is a digital operator that provides converged connectivity and digital services to nearly 160 million customers. Operating across six countries that are home to more than 7% of the world’s population, VEON is transforming lives through technology-driven services that empower individuals and drive economic growth. Headquartered in Amsterdam, VEON is listed on NASDAQ and Euronext. For more information visit: www.veon.com 

This release contains “forward-looking statements,” as the phrase is defined in Section 27A of the U.S. Securities Act of 1933, as amended, and Section 21E of the U.S. Securities Exchange Act of 1934, as amended. Forward-looking statements are not historical facts, and include statements relating to, among other things, VEON’s strategy and divestment plans. Forward-looking statements are inherently subject to risks and uncertainties, many of which VEON cannot predict with accuracy and some of which VEON might not anticipate. The forward-looking statements contained in this release speak only as of the date of this release. VEON does not undertake to publicly update, except as required by U.S. federal securities laws, any forward-looking statement to reflect events or circumstances after such dates or to reflect the occurrence of unanticipated events.

Contact Information 

Hande Asik 
Group Director of Communication 

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