VEON Ltd. (NASDAQ:VEON), a global digital operator ("VEON" or the "Company"), announces that it will shortly commence the third phase of its previously announced share buyback program with respect to the Company's American Depositary Shares ("ADSs"). This third phase of the buyback will be in the amount of up to USD 35 million.
The third phase of the share buyback program is being launched after the successful completion of the second phase on May 21, 2025. Cumulatively, the two earlier phases of the program have resulted in the repurchase of 1.43 million ADSs at an average repurchase price of USD 45.59 per ADS. VEON had announced a share buyback program of up to USD 100 million on August 1, 2024.
The Company continues to believe that its ADSs are undervalued relative to its operational performance and strategic potential. With the buyback program, VEON aims to optimize shareholder value and strengthen its financial position for future opportunities.
The buybacks will be conducted on the open market pursuant to a 10b5-1 plan signed with a registered broker-dealer, and in compliance with Rule 10b-18.
VEON is also considering options to raise external financing through a sub-benchmark private placement of bonds, with a tenor of up to approximately four years (the "Notes"), with the goal of supporting the Company's strategic initiatives and enhancing its financial flexibility. The Notes, if issued, will be issued by VEON Midco B.V. and guaranteed by VEON Amsterdam B.V. This evaluation is a part of VEON's ongoing capital planning effort and discussions with potential institutional investors are in progress.