VimpelCom will pay about $66 million for Millicom’s 78 percent stake in Millicom Lao Co. Ltd. The remaining 22% of Millicom Lao Co., Ltd. is owned by the Government of the Lao PDR.

VimpelCom’s CEO Boris Nemsic describes the deal as, “the next logical step in our international expansion strategy” and one that “fits perfectly into our strategy of building a solid Southeast Asian cluster.”

VimpelCom already has mobile operations in Vietnam and Cambodia, having launched services in both markets in July 2008. It holds a 40 percent stake in a JV established with state-owned GTEL in Vietnam. In Cambodia, it owns 90 percent of Sotelco.

Laos has a population of 6.5 million people and low mobile penetration estimated at around 23%, thus making it attractive for Vimpelcom and an obvious choice for acquisition.