|
VimpelCom acquires stake on Laos's Millicom Lao Co. for $88 million
Russian mobile operator VimpelCom Ltd. (VIP: 14.63, -0.01, -0.07%) said Wednesday it closed the $88 million acquisition of a 78% stake in Laos's Millicom Lao Co., which had been delayed by regulatory approval.
VimpelCom said it paid the owners of the stake, including Millicom International Cellular S.A. (MICC: 90.52, +1.31, +1.47%), around $65 million, and repaid around $23 million of Millicom Lao's debt.
The deal was announced in September 2009, but its completion was delayed until it got the endorsement of the Laos government, VimpelCom said.
Laos owns 22% in Millicom Lao, which serves more than 500,000 subscribers and has a local market share of around 25%. Millicom International Cellular S.A. held a 74%-stake in Millicom Lao through Millicom Holding B.V.
"The telecommunications market in Southeast Asia has considerable potential, and we are confident in our ability to take advantage of the opportunities this region has to offer," VimpelCom Chief Executive Alexander Izosimov said in an emailed statement.
VimpelCom already has operations in Vietnam and Cambodia, and is seeking to expand further internationally through its $6-billion acquisition of Wind Telecom, with operations in Italy, Algeria, Bangladesh, Canada, Pakistan and sub-Saharan Africa.
foxbusiness
|
