VimpelCom Buys Majority Stake in Laos Mobile Network
Published on: 16th Sep 2009
Note -- this news article is more than a year old.
Millicom has signed an agreement for the sale of its 74.1% holding in its Laos operation to Russia's VimpelCom for approximately USD65 million in total cash proceeds payable on completion. The transaction values the entire Laos operation at an enterprise value of approximately $102 million which represents 7.5x estimated 2009 EBITDA.
Completion of the transaction is subject to regulatory approvals, as required. If such approvals are obtained, completion is expected to take place before the end of 2009.
Mikael Grahne, President and CEO of Millicom, commented: "We are delighted to have reached agreement on the sale of our Laos operations to VimpelCom. We are very pleased with the achievements of Millicom Laos over the years, including its strong position in the market. The management has demonstrated its ability to grow the business and I would like to thank all our employees in Laos for their contribution over the years."