Amsterdam and Dhaka, 15 November 2023 – VEON Ltd. (NASDAQ:VEON, Euronext Amsterdam: VEON)), a global digital operator that provides converged connectivity and online services, today announces that its wholly owned subsidiary Banglalink has entered into an agreement to sell part of its tower portfolio in Bangladesh to Summit Towers Limited for BDT 11 billion - equivalent of roughly USD 100 million. The deal includes a long-term service partnership with Summit Towers.
Upon closing of the deal, more than 2,000 towers – about one-third of Banglalink's towers portfolio – will be transferred to Summit Towers, a company majority-owned by Summit Communications Group, a leading Bangladeshi infrastructure group.
Since 2021, VEON defines its value creation strategy around three pillars: Asset-light business model and value crystallization of tower assets, sustained growth in core business with the digital operator strategy, and growth in adjacent markets – including financial services, entertainment, education and healthcare – with high-potential digital products. The agreement signed with Summit Towers aligns with the asset-light pillar of VEON's value creation strategy and supports the Bangladesh Government's goal of ensuring maximum efficiency in utilization of infrastructure resources.
"Across our markets, VEON operators are transforming into asset-light digital operators. Today's agreement marks a milestone, ensuring efficient use of resources not only for Banglalink but also for Bangladesh as a whole. This deal will enable us to focus on our core business as the leading digital operator of the country and continue addressing the unmet demand in entertainment, education, healthcare and financial services," said Kaan Terzioglu, Group CEO of VEON.
"This strategic deal is a prelude ...