VEON to List Kyivstar on Nasdaq in New York, Signs Letter of Intent with Cohen Circle
VEON (Nasdaq: VEON) has signed a letter of intent with Cohen Circle Acquisition Corp. I (Nasdaq: CCIRU) to list its Ukrainian subsidiary, Kyivstar, on the Nasdaq Stock Market in the U.S. This move would make Kyivstar the first purely Ukrainian company to be listed on a U.S. exchange, providing international investors direct access to its growth and Ukraine's economic recovery.
Kyivstar is Ukraine's leading digital operator with nearly 24 million connectivity customers and a portfolio that includes the digital healthcare platform Helsi and the entertainment streaming service Kyivstar TV. Kyivstar also offers enterprise services like cloud, cybersecurity, and AI solutions, and has recently partnered with Starlink to enhance communication resilience in Ukraine.
The business combination with Cohen Circle aims to indirectly list Kyivstar on Nasdaq, with VEON retaining a majority stake. Details are expected by Q2 2025. A pre-transaction reorganization of VEON Holdings will be completed by March 2025, separating Kyivstar and certain assets into a new entity. VEON has begun the demerger process and launched a consent solicitation for bondholders to facilitate these actions.
VEON (Nasdaq: VEON) ha firmato una lettera di intenti con Cohen Circle Acquisition Corp. I (Nasdaq: CCIRU) per quotare la sua filiale ucraina, Kyivstar, presso il Nasdaq Stock Market negli Stati Uniti. Questa operazione renderebbe Kyivstar la prima azienda puramente ucraina a essere quotata in una borsa statunitense, offrendo agli investitori internazionali un accesso diretto alla sua crescita e alla ripresa economica dell'Ucraina.
Kyivstar è il principale operatore digitale dell'Ucraina con quasi 24 milioni di clienti in connettività e un portafoglio che include la piattaforma di salute digitale Helsi e il servizio di streaming di intrattenimento Kyivstar TV. Kyivstar offre anche servizi per le imprese come cloud, cybersecurity e soluzioni di intelligenza artificiale, e ha recentemente collaborato con Starlink per migliorare la resilienza della comunicazione in Ucraina.
La combinazione aziendale con Cohen Circle mira a quotare indirettamente Kyivstar al Nasdaq, con VEON che mantiene una partecipazione di controllo. I dettagli sono attesi entro il secondo trimestre del 2025. Una riorganizzazione pre-transazione di VEON Holdings sarà completata entro marzo 2025, separando Kyivstar e alcuni asset in una nuova entità. VEON ha avviato il processo di scissione e ha lanciato una consultazione per i possessori di obbligazioni per facilitare queste azioni.
VEON (Nasdaq: VEON) ha firmado una carta de intención con Cohen Circle Acquisition Corp. I (Nasdaq: CCIRU) para listar su filial ucraniana, Kyivstar, en el Nasdaq Stock Market en Estados Unidos. Este movimiento haría de Kyivstar la primera empresa ucraniana pura en cotizar en una bolsa estadounidense, proporcionando a los inversores internacionales acceso directo a su crecimiento y a la recuperación económica de Ucrania.
Kyivstar es el principal operador digital de Ucrania, con casi 24 millones de clientes de conectividad y un portafolio que incluye la plataforma de salud digital Helsi y el servicio de streaming de entretenimiento Kyivstar TV. Además, Kyivstar ofrece servicios empresariales como soluciones de nube, ciberseguridad e inteligencia artificial, y se ha asociado recientemente con Starlink para mejorar la resiliencia de las comunicaciones en Ucrania.
La combinación empresarial con Cohen Circle tiene como objetivo listar indirectamente a Kyivstar en Nasdaq, manteniendo VEON una participación mayoritaria. Se esperan detalles para el segundo trimestre de 2025. Una reorganización previa a la transacción de VEON Holdings se completará para marzo de 2025, separando a Kyivstar y ciertos activos en una nueva entidad. VEON ha comenzado el proceso de escisión y ha lanzado una solicitud de consentimiento para los tenedores de bonos para facilitar estas acciones.
VEON (Nasdaq: VEON)는 Cohen Circle Acquisition Corp. I (Nasdaq: CCIRU)와 함께 자사의 우크라이나 자회사 Kyivstar를 미국 나스닥 증시에 상장하기 위한 양해각서에 서명했습니다. 이번 조치는 Kyivstar가 미국 증시에 상장된 첫 번째 순수 우크라이나 기업이 되어 국제 투자자들에게 성장 및 우크라이나 경제 회복에 직접 접근할 수 있는 기회를 제공합니다.
Kyivstar는 우크라이나의 주요 디지털 운영자로, 거의 2400만 명의 연결 고객을 보유하고 있으며, 디지털 건강 관리 플랫폼 Helsi 및 엔터테인먼트 스트리밍 서비스 Kyivstar TV를 포함한 포트폴리오를 가지고 있습니다. Kyivstar는 또한 클라우드, 사이버 보안 및 AI 솔루션과 같은 기업 서비스를 제공하며, 최근에는 Starlink와 협력하여 우크라이나에서의 통신 회복력을 강화하고 있습니다.
Cohen Circle과의 사업 결합은 Kyivstar를 간접적으로 나스닥에 상장하는 것을 목표로 하며, VEON은 대주주 지분을 유지합니다. 세부 사항은 2025년 2분기에 공개될 예정입니다. VEON Holdings의 거래 전 재조직은 2025년 3월까지 완료되며, Kyivstar와 일부 자산을 새로운 법인으로 분리할 것입니다. VEON은 분할 프로세스를 시작했으며, 이러한 조치를 원활히 하기 위해 채권자 동의 요청을 시작했습니다.
VEON (Nasdaq: VEON) a signé une lettre d'intention avec Cohen Circle Acquisition Corp. I (Nasdaq: CCIRU) pour inscrire sa filiale ukrainienne, Kyivstar, sur le Nasdaq Stock Market aux États-Unis. Ce mouvement ferait de Kyivstar la première entreprise purement ukrainienne à être cotée sur une bourse américaine, offrant ainsi aux investisseurs internationaux un accès direct à sa croissance et à la reprise économique de l'Ukraine.
Kyivstar est le principal opérateur numérique en Ukraine, avec près de 24 millions de clients de connectivité et un portefeuille incluant la plateforme de santé numérique Helsi et le service de streaming de divertissement Kyivstar TV. Kyivstar propose également des services aux entreprises tels que des solutions Cloud, de cybersécurité et d'IA, et a récemment conclu un partenariat avec Starlink pour renforcer la résilience des communications en Ukraine.
La combinaison d'affaires avec Cohen Circle vise à inscrire indirectement Kyivstar au Nasdaq, VEON conservant une participation majoritaire. Les détails sont attendus d'ici le deuxième trimestre 2025. Une réorganisation préalable à la transaction de VEON Holdings sera achevée d'ici mars 2025, séparant Kyivstar et certains actifs en une nouvelle entité. VEON a lancé le processus de scission et a débuté une sollicitation de consentement pour les obligataires afin de faciliter ces actions.
VEON (Nasdaq: VEON) hat eine Absichtserklärung mit Cohen Circle Acquisition Corp. I (Nasdaq: CCIRU) unterzeichnet, um seine ukrainische Tochtergesellschaft Kyivstar an der Nasdaq-Börse in den USA zu listen. Dieser Schritt würde Kyivstar zum ersten rein ukrainischen Unternehmen machen, das an einer US-Börse notiert ist, und internationalen Investoren direkten Zugang zu seinem Wachstum und der wirtschaftlichen Erholung der Ukraine bieten.
Kyivstar ist der führende digitale Betreiber der Ukraine mit nahezu 24 Millionen Kunden in der Konnektivität und einem Portfolio, das die digitale Gesundheitsplattform Helsi sowie den Entertainment-Streaming-Dienst Kyivstar TV umfasst. Kyivstar bietet auch Unternehmensdienste wie Cloud, Cybersecurity und KI-Lösungen an und hat kürzlich mit Starlink zusammengearbeitet, um die Kommunikationsresilienz in der Ukraine zu stärken.
Die Unternehmenszusammenlegung mit Cohen Circle zielt darauf ab, Kyivstar indirekt an der Nasdaq zu listen, wobei VEON eine Mehrheitsbeteiligung behält. Die Einzelheiten werden für das zweite Quartal 2025 erwartet. Eine Reorganisation von VEON Holdings vor der Transaktion soll bis März 2025 abgeschlossen sein, wobei Kyivstar und bestimmte Vermögenswerte in eine neue Einheit ausgegliedert werden. VEON hat den Prozess der Abspaltung begonnen und eine Zustimmungseinholung für die Anleiheninhaber gestartet, um diese Maßnahmen zu erleichtern.
- Kyivstar to be listed on Nasdaq, providing international investors access to Ukraine's growth.
- Kyivstar's portfolio includes significant assets like Helsi and Kyivstar TV.
- Kyivstar partners with Starlink for enhanced communication resilience.
- Completion of business combination and reorganization subject to various conditions and approvals.
Insights
This strategic move by VEON to list Kyivstar on Nasdaq through a SPAC merger with Cohen Circle represents a landmark transaction for both the Ukrainian market and VEON's value crystallization strategy. The deal structure, involving a Dutch legal demerger and subsequent business combination, is particularly sophisticated and designed to maximize shareholder value while maintaining VEON's controlling interest.
The transaction's significance lies in creating the first pure-play Ukrainian investment vehicle on a major U.S. exchange, potentially commanding a higher valuation multiple than VEON's current consolidated structure. With Kyivstar's 24 million connectivity customers and expanding digital services portfolio, including healthcare platform Helsi and entertainment streaming service Kyivstar TV, this listing could attract significant U.S. institutional investment seeking exposure to Ukraine's digital economy and post-war reconstruction.
The consent solicitation for the 2027 Notes holders is a critical step in facilitating the reorganization, indicating careful consideration of debt obligations in the transaction structure. This deal could serve as a template for future emerging market telecom operators seeking to unlock value through geographical asset separation.
This listing represents a pivotal moment in Ukraine's economic integration with Western markets, particularly significant given the ongoing geopolitical context. The timing of this transaction aligns with broader Western efforts to support Ukraine's economic resilience and reconstruction, potentially catalyzing increased foreign direct investment into the country.
The strategic partnership with Starlink for direct-to-cell satellite connectivity demonstrates Kyivstar's critical role in maintaining Ukraine's communication infrastructure resilience. This aspect is particularly valuable to investors considering the geopolitical risk profile. The 'Invest in Ukraine NOW!' campaign, coupled with this listing, signals a shift from aid-dependent reconstruction to market-driven investment opportunities in Ukraine's digital infrastructure.
Kyivstar's technological ecosystem extends beyond traditional telecom services, positioning it as a comprehensive digital operator. The company's expansion into cloud services, cybersecurity and AI solutions through Kyivstar Tech, combined with its 28 million-user healthcare platform Helsi, demonstrates a sophisticated digital transformation strategy. The Starlink partnership for direct-to-cell satellite connectivity represents cutting-edge infrastructure innovation, particularly valuable in ensuring communication resilience. This digital service portfolio diversification could command premium valuations compared to traditional telecom operators, potentially attracting technology-focused investors seeking exposure to Eastern European digital transformation.
Kyiv, New York, Dubai and Philadelphia, 13 January 2025: VEON Ltd. (Nasdaq: VEON), a global digital operator (“VEON” or, together with its subsidiaries, the “Group”), and Cohen Circle Acquisition Corp. I (“Cohen Circle”), a special purpose acquisition company (Nasdaq: CCIRU), today announced the signing of a letter of intent (“LOI”) to enter into a business combination with the aim of indirectly listing Kyivstar, VEON’s digital operator in Ukraine, on the Nasdaq Stock Market LLC (“Nasdaq”) in the United States.
Completion of this transaction would make Kyivstar the first purely Ukrainian investment opportunity to be publicly listed on a U.S. stock exchange, enabling U.S. and other international investors to participate more directly in Kyivstar’s growth and the broader recovery of the Ukrainian economy.
Kyivstar is Ukraine’s leading digital operator, with the country’s largest mobile and fixed-line connectivity businesses that serve nearly 24 million connectivity customers. Kyivstar’s portfolio of digital services includes the digital healthcare platform Helsi with a registered user base of 28 million and the entertainment streaming platform, Kyivstar TV. Kyivstar is a leading provider of enterprise services in Ukraine, supporting Ukrainian businesses with cloud, cybersecurity and AI solutions, a growing player in the software development landscape of Ukraine via Kyivstar Tech, and a preferred partner for international technology companies, having most recently signed a groundbreaking agreement with Starlink to bring direct-to-cell satellite connectivity to Ukraine to enhance the resilience of communication.
“We are proud to be opening American and global markets for Ukraine with Kyivstar's benchmark Nasdaq listing. As Ukraine's largest private investor, this milestone amplifies our 'Invest in Ukraine NOW!' campaign, showcasing the country’s growth potential and offering American investors direct access to its future economic opportunities,” said Augie K Fabela II, Chairman and Founder of VEON.
“The agreement that we have reached with Cohen Circle is a significant step in VEON’s ambition of crystallizing value for our investors, including through the listings of our key assets where relevant. It also underscores our commitment to rebuilding Ukraine through investments. We are excited to see investor interest in Kyivstar’s growth story and the appreciation of Ukraine’s potential. We are determined to work diligently towards the successful completion of this process, which will make Kyivstar a unique U.S.-listed opportunity for international investors while also highlighting the overall investment case for Ukraine,” said Kaan Terzioglu, VEON Group CEO.
“Kyivstar possesses all of the qualities we look for as a merger partner - strong business fundamentals, excellent management and opportunities for outsized growth. We couldn’t be more excited than to partner with VEON and provide investors with a compelling opportunity to invest in the economic development of Ukraine,” said Betsy Cohen, Chairman and CEO of Cohen Circle Acquisition Corp. I.
The LOI will enable VEON and Cohen Circle to explore a business combination between VEON Holdings B.V. (“VEON Holdings”) and Cohen Circle with the aim of indirectly listing Kyivstar, a wholly owned subsidiary of VEON Holdings, on Nasdaq (the “Business Combination”). VEON will continue to hold a majority stake in such publicly listed entity. The parties expect to announce additional details regarding the Business Combination upon the execution of a definitive agreement, which is anticipated to take place by the second quarter of 2025.
As part of the preparation for the Business Combination, VEON will undertake a pre-transaction reorganization of VEON Holdings (the “Reorganization”). This Reorganization will be consummated through a Dutch legal demerger, as a result of which VEON Holdings, which will remain domiciled in the Netherlands, will hold only Kyivstar and its subsidiaries and certain other select assets and liabilities. A newly incorporated entity will hold VEON’s other core operating subsidiaries and assets.
VEON has commenced the process of this demerger by filing the demerger proposal and accompanying documents with the Dutch Chamber of Commerce today. The Reorganization is expected to be completed by March 2025. Further information on the demerger process can be found on the Company’s website: https://www.veon.com/investors
To facilitate the aforementioned actions, VEON Holdings today also launches a consent solicitation to obtain consent from the holders of its bonds maturing in 2027 (ISIN: Reg S: XS2824764521/ Rule 144A: XS2824766146) (the “2027 Notes”).
The consent solicitation is being made on the terms and subject to the conditions contained in the consent solicitation memorandum dated 13 January 2025 (the “Consent Solicitation Memorandum”). A copy of the Consent Solicitation Memorandum (subject to distribution restrictions) can be obtained from the tabulation agent (Kroll Issuer Services Limited). ICBC and Jefferies will be acting as Solicitation Agents on the consent.
About VEON
VEON is a Nasdaq-listed digital operator headquartered in the Dubai International Financial Center that provides converged connectivity and digital services to nearly 160 million customers. Operating across six countries that are home to more than
About Cohen Circle
Cohen Circle is a special purpose acquisition company sponsored by Cohen Circle, LLC and formed for the purpose of entering into a merger, capital stock exchange, asset acquisition, stock purchase, reorganization or similar business combination with one or more technology and/or financial services businesses. Cohen Circle is listed on the NASDAQ under the symbol “CCIRU.”
No Offer or Solicitation
This press release shall not constitute a solicitation of a proxy, consent, or authorization with respect to any securities or in respect of the proposed Business Combination. This press release does not constitute an offer to sell or the solicitation of an offer to buy any securities, nor shall there be any sale of securities in any states or jurisdictions in which such offer, solicitation, or sale would be unlawful prior to registration or qualification under the securities laws of any such jurisdiction. No offering of securities shall be made except by means of a prospectus meeting the requirements of Section 10 of the Securities Act of 1933, as amended.
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. All statements contained in this press release that do not relate to matters of historical fact should be considered forward-looking statements, including, without limitation, statements relating to, among other things, the proposed transactions, including the execution and timing of entering into a definitive agreement in connection with the Business Combination and the Reorganization, and the expected timing of completing the proposed transactions, the expectation that Kyivstar will be the first purely Ukrainian investment opportunity to be publicly listed on a U.S. stock exchange, the expected impact of the proposed Business Combination, including investor interest in Kyivstar and Ukraine, the intended outcome of the consent solicitation process and the future structure of the Group. These statements are based on management’s current expectations. These statements are neither promises nor guarantees, but involve known and unknown risks, uncertainties and other important factors that may cause VEON’s or the Special Purpose Acquisition Company’s actual results, performance or achievements to be materially different from any future results, performance or achievements expressed or implied by the forward-looking statements in this press release, including, but not limited to, the occurrence of any event, change or other circumstances that could give rise to the termination of the Business Combination (including before any definitive agreement in connection with the Business Combination is entered into); the outcome of any legal proceedings that may be instituted against VEON Ltd., any of its subsidiaries or others following the announcement of the Business Combination; the inability to complete the Business Combination due to the failure to obtain the necessary board and shareholder approvals or to satisfy other conditions to closing; changes to the proposed structure of the Business Combination or the contemplated reorganization that may be required or appropriate as a result of applicable laws or regulations; the ability to meet stock exchange listing standards following the entry into a definitive agreement for the Business Combination or a consummation of the Business Combination; the risk that the Business Combination disrupts current plans and operations of VEON Ltd. as a result of the announcement and consummation of the Business Combination; the ability to recognize the anticipated benefits of the Business Combination, which may be affected by, among other things, competition, the ability of the combined company to grow, retain its management and key employees; costs related to the Business Combination; changes in applicable laws or regulations; and other risks and uncertainties expected to be set forth in subsequent filings in the event of the entry into a definitive agreement for the Business Combination, including a proxy statement and or prospectus relating to the Business Combination expected to be filed by the Special Purpose Acquisition Company and/or a newly-formed holding company of Kyivstar in the event of the entry into a definitive agreement for the Business Combination. 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. 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.
No assurances can be made that the parties will successfully negotiate and enter into a definitive agreement in respect of the Business Combination, or that the Business Combination will be consummated on the terms or timeframe currently contemplated, or at all. The Business Combination is subject to the execution of a definitive agreement, board approval of each of VEON and Cohen Circle, approval of Cohen Circle’s shareholders, regulatory approvals, and other customary conditions to closing.
Contact Information
VEON
Hande Asik
Group Director of Communication & Strategy
pr@veon.com
Faisal Ghori
Group Director of Investor Relations
ir@veon.com
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