Benzinga | Dec 24, 2020 07:03AM EST

VEON's Subsidiaries In Ukraine And Kazakhstan Sign Bilateral Long-term Loan Agreements In Local Currencies For Around $170M

VEON Ltd. (NASDAQ:VEON) (Euronext Amsterdam: VEON), a leading global provider of connectivity and internet services, announces that its operating company in Ukraine, Kyivstar, has signed three bilateral unsecured loan agreements with Raiffeisen Bank Aval Joint Stock Company ("Raiffeisen"), Joint Stock Company Alfa-Bank ("Alfa-Bank") and Joint Stock Company OTP Bank ("OTP"), for an aggregate amount of UAH 4.1 billion (approximately USD 145 million[1]). The loan agreement with Raiffeisen has a 5-year term, and the loan agreements with Alfa-Bank and OTP have a 3-year term.

Similarly, VEON's subsidiary in Kazakhstan, KaR-Tel, has signed a bilateral unsecured loan agreement with Forte Bank JSC for KZT 10 billion (approximately USD 25 million[1]), which has a 3-year term.

Both Kyivstar and KaR-Tel will continue to monitor the local debt markets for further borrowing opportunities, in line with VEON's strategy to improve its capital structure via long-term borrowings in local currencies.

[1] Based on USD/UAH = 28.1 and USD/KZT = 421.2.