A&O advising VEON on the sale of its mobile network towers in Russia
02 December 2021
Allen & Overy is advising VEON and PJSC VimpelCom on the sale of towers in Russia to Service-Telecom for a total of RUB70.65bn (USD970million) which completed on 1 December 2021.
VEON is a leading global provider of connectivity and internet services, and parent of VimpelCom, which operates in Russia under the Beeline brand. Service-Telecom is an operator of passive infrastructure across various regions in Russia.
The transaction involves the sale of 100% of National Tower Company, a subsidiary of VEON, which operates a portfolio of approximately 15,400 mobile network towers in Russia. VimpelCom will retain its active network infrastructure and the majority of its rooftop towers.
Commenting on the deal, A&O partner and global co-head of the firm’s Telecoms, Media and Technology practice, Tom Levine said: “The competition for telecommunications infrastructure as an asset class remains strong, including on the disposal of VimpelCom’s towers, with assets priced at attractive valuation multiples. We are delighted to continue our leading position on towers transactions in markets around the world.”
The A&O team advising VEON is led in London by Counsel Andrew Kenning and Senior Associate Eimear Coady, with Telecom sector head Tom Levine and Global Infrastructure Group co-head Sara Pickersgill, and in Moscow by partner Anton Konnov and senior associate Aleksey Mareev.