Global digital operator Veon confirmed the sale of its 45.57% stake in Djezzy Algeria for $682 million. Veon said the cash will be used to improve its liquidity position.
Veon’s stake in the company now belongs to Fonds National d’Investissement (Algeria’s national investment fund), which means that nearly all of the shares in Djezzy’s parent company, Omnium Telecom Algerie, are owned by the country. The national investment fund purchased a 51% stake in Omnium Telecom Algérie in 2015 for $2.6 billion following a decade-long battle between the then-owner and the government.
With the latest transaction, Veon has received a total of $3.3 billion for its whole interest in Djezzy.
According to Veon Group CEO Kaan Terzioglu, the Djezzy transaction, first announced in July 2021, marks “an important step in [the company’s] strategy of streamlining VEON’s portfolio.”
“Veon will continue to focus on large-scale, emerging markets where we can generate value with our digital operator model,” Terzioglu added.
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