VEON Commences its Delisting from Euronext Amsterdam to Consolidate its Trading on Nasdaq in New York

Rhea-AI Summary

VEON (Nasdaq: VEON; Euronext Amsterdam: VEON) has announced the commencement of its delisting process from Euronext Amsterdam, with the last trading day set for 22 November 2024 and the delisting effective from 25 November 2024. This move aims to consolidate trading on Nasdaq, where VEON's American depositary shares (ADSs) will be traded under the ticker symbol VEON.

VEON's Group CEO, Kaan Terzioglu, stated that this decision aligns with the company's long-term strategy and will strengthen liquidity and simplify reporting processes. The company is committed to ensuring a smooth transition for Euronext Amsterdam shareholders, offering options to adjust their holdings and deposit Common Shares in exchange for ADSs. VEON will cover ADS issuance fees for shareholders who deposit their Common Shares during the specified period.

Positive

• Consolidation of trading on Nasdaq may improve liquidity
• Simplification of reporting processes
• Strategic alignment with the company's long-term goals
• Potential to attract investors seeking growth in frontier markets

Negative

• Potential disruption for existing Euronext Amsterdam shareholders
• Possible short-term volatility during the transition period

Insights

Financial Analyst

VEON's decision to delist from Euronext Amsterdam and consolidate trading on Nasdaq is a strategic move with several implications for investors. This consolidation aims to enhance liquidity and simplify reporting processes, which could potentially lead to reduced operational costs and improved efficiency.

The relocation of headquarters to Dubai, making VEON the largest Nasdaq-listed company based there, signals a strategic shift towards frontier markets. This move may attract investors interested in emerging market exposure while maintaining the transparency and regulatory standards associated with a Nasdaq listing.

For existing shareholders, the transition process seems well-managed, with the company covering ADS issuance fees for those converting shares before the delisting date. However, investors should be aware of the 25:1 ratio for Common Shares to ADSs, which may require some portfolio adjustments.

While this move streamlines VEON's market presence, investors should monitor how it affects overall trading volumes and share liquidity in the short term. The long-term impact on valuation and investor access will be important to watch as VEON positions itself as a gateway to frontier market growth opportunities.

Amsterdam and Dubai, 21 October 2024: VEON Ltd. (Nasdaq: VEON; Euronext Amsterdam: VEON), a global digital operator (“VEON” or the “Company”), today announces that it has commenced the process for the delisting of its common shares from trading on Euronext Amsterdam (the “Euronext Amsterdam Delisting”), following the approval of Euronext Amsterdam. The Company’s last day of trading on Euronext Amsterdam will be 22 November 2024 (the “Last Trading Date”) and the delisting will be effective from 25 November 2024.

With this move, VEON will consolidate the trading of its shares on the Nasdaq Capital Market (“Nasdaq”), which will be the platform for the trading of VEON’s American depositary shares, each representing 25 Common Shares (the “ADSs”). Following the Last Trading Date, all public trading of equity securities in the Company will take place on Nasdaq under ticker symbol VEON.

“Our decision to consolidate our trading on Nasdaq aligns with our long-term strategy and the best interests of our investors. This move will strengthen VEON’s liquidity and simplify our reporting processes,” said Kaan Terzioglu, VEON Group CEO. “VEON’s continued listing on Nasdaq, combined with our recently announced plan to relocate our headquarters, which will make us the largest Nasdaq-listed company headquartered in Dubai, underscores our strategic commitment to lead the way for investors seeking growth in frontier markets.”

VEON is committed to ensuring a smooth and equitable transition for its Euronext Amsterdam shareholders. On or before the Last Trading Date, shareholders that do not hold a number of Common Shares corresponding to a multiple of 25 can sell or purchase Common Shares so that they hold a number of Common Shares that is a precise multiple of 25, allowing for the issue of the corresponding number of ADSs.

The Company is also providing an opportunity for shareholders to deposit their Common Shares with the Company’s depositary, The Bank of New York Mellon, in exchange for delivery of ADSs. For those shareholders who deposit their Common Shares during the period from the day after the date of this announcement through the Last Trading Date, the Company will pay the ADS issuance fees.

Existing holders of ADSs not also holding Common Shares on Euronext Amsterdam do not need to take any action in relation to the Euronext Amsterdam Delisting.

VEON investors can access further information on the delisting process on VEON’s website: www.veon.com/investors.

About VEON
VEON is a digital operator that provides converged connectivity and digital services to nearly 160 million customers. Operating across six countries that are home to more than 7% of the world’s population, VEON is transforming lives through technology-driven services that empower individuals and drive economic growth. VEON is listed on Nasdaq and Euronext. For more information visit: https://www.veon.com.

Disclaimer 
This announcement contains inside information as defined for the purposes of Article 7 of Regulation (EU) no. 596/2014 (MAR).

This announcement shall not constitute an offer to sell or the solicitation of an offer to buy the Common Shares or ADSs, nor shall there be any sale of the Common Shares or ADSs in any jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such jurisdiction. The securities described in this announcement have not been registered under the Securities Act and may not be offered or sold in the United States absent registration or an applicable exemption from, or in a transaction not subject to, the registration requirements.

This announcement does not form part of an offer of transferable securities to the public in the Netherlands and no prospectus has been, or is required to be, submitted to the AFM for approval.

Forward-looking statements

This release contains “forward-looking statements”, as the phrase is defined in Section 27A of the U.S. Securities Act of 1933, as amended, and Section 21E of the U.S. Securities Exchange Act of 1934, as amended. Forward-looking statements are not historical facts, and include statements relating to, among other things, the Company’s Euronext Amsterdam Delisting timetable, its expectations regarding future regulatory filings and the anticipated trading volume that may result from the Euronext Amsterdam Delisting. Forward-looking statements are inherently subject to risks and uncertainties, many of which VEON cannot predict with accuracy and some of which VEON might not even anticipate, including the important factors discussed under the caption Risk Factors in VEON’s annual report on Form 20-F for the year ended 31 December 2023, which is on file with the U.S. Securities and Exchange Commission (SEC) and is available on the SEC website at www.sec.gov. The forward-looking statements contained in this release speak only as of the date of this release. VEON does not undertake to publicly update, except as required by U.S. federal securities laws, any forward-looking statement to reflect events or circumstances after such dates or to reflect the occurrence of unanticipated events. There can be no assurance that the initiatives referred to above will be successful.

Contact Information:

Hande Asik
Group Director of Strategy and Communication 
pr@veon.com

Faisal Ghori
Group Director of Investor Relations
ir@veon.com

FAQ

When will VEON's delisting from Euronext Amsterdam be effective?

VEON's delisting from Euronext Amsterdam will be effective from 25 November 2024.

What is the last trading date for VEON shares on Euronext Amsterdam?

The last trading date for VEON shares on Euronext Amsterdam is 22 November 2024.

How can Euronext Amsterdam shareholders transition their holdings after VEON's delisting?

Shareholders can adjust their holdings to multiples of 25 Common Shares and deposit them with The Bank of New York Mellon to receive ADSs. VEON will cover ADS issuance fees for deposits made between the announcement date and the last trading date.

What is the ticker symbol for VEON shares on Nasdaq?

VEON shares will trade on Nasdaq under the ticker symbol VEON.