Thursday, 28 April 2011 15:00Tom Brennan
THE parent company of mobile operator Beeline announced yesterday it would provide as much as US$500 million in financing for its Vietnamese joint venture, GTEL-Mobile Stock Co, through 2013.
Vimpelcom has already paid $196 million of the $500 million for newly issued shares from GTEL-Mobile, which is a partnership between Vimpelcom and Vietnam’s GTEL. At the close of financing, Vimpelcom will own 65 percent of GTEL-Mobile though the additional $304 million and the equity increase depend on conditions, according to a company statement.
“We look forward to relaunching our operations in Vietnam and to strengthening our position in the high-potential Southeast Asia cluster,” said Alexey Blyumin, General Director of GTEL-Mobile.
Vimpelcom is majority owner of Cambodia’s Beeline, and completed its acquisition of 78 percent of Millicom Lao Company last month.