VimpelCom buys out Wind Telecom

The Moscow Times.

Operations in Egypt and North Korea will be spun off to shareholders in Wind's Orascom Telecom Holding unit; North Africa's biggest mobile network operator. VimpelCom adds it will work to keep Orascom Telecom's Djezzy unit in Algeria.

Telegeography reveals that Alexander Izosimov, CEO of Vimpelcom, says: “The closing of this large and complex transaction opens the door for new and exciting growth opportunities, positioning the company to capitalise on strong growth in emerging markets, industry consolidation, and the rapid development of mobile data.”

As a result of the transaction, Vimpelcom, through Wind Telecom, now owns 51.7% of Orascom Telecom and 100% of Wind Telecomunicazioni. Vimpelcom claims the enlarged company's total mobile subscriber base reached 181 million as at 31 December 2010.

According to ITp.net, VimpelCom intends to discuss a possible resolution to an ongoing dispute with the Algerian government regarding the ownership of Orascom Telecom Algeria; which is also known as Djezzy.

The Algerian government last year said it intended to take ownership of Djezzy, which is one of the most profitable operations in Oracom Telecom's portfolio.