Wireless Federation

Ronny Pecik increases stake in Telekom Austria to 15.8 percent (Europe)

On 11.28.11, In Mobile, By Editor

Ronny Pecik’s RPR Privatstiftung has reportedly increased its stake in Telekom Austria to 15.8 percent with the help of shares and options. According to reports, Telekom Austria announced that RPR Privatstiftung had exercised options to buy a 15 percent stake in the telecom operator via Marathon Zwei Beteiligungs GmbH, and further holds options to increase its stake by a further 0.8 percent via its subsidiary, Everest Investment GmbH subsidiary.

As per industry sources, Pecik’s stake is currently worth $ 761 million, and is reportedly planning to hike its stake to 20 percent in collaboration with three more investors. However, as per sources, industry analysts claim that Pecik’s decision does not seem to be a very viable one. Further, there have been speculations suggesting that Pecik may be reselling his stake to VimpelCom, Telefonica, Telenor as a means of an exit strategy.

Filed under:Mobile Tagged with: Austria • Ronny Pecik • RPR Privatstiftung • Telefonica • Telekom Austria • Telenor • VimpelCom

Wind pays first instalment of US$ 941 million for 4G spectrum (Italy)

On 11.07.11, In Mobile, By Editor

VimpelCom Ltd.’s fully owned subsidiary in Italy, Wind Telecomunicazioni S.p.A., has reportedly paid US$ 941 million as the first payment for the 800MHz and 2600MHz 4G frequencies awarded to the company on 29^th September 2011. As per reports, Wind will pay the remaining amount of approximately US$ 605 million in five equal instalments from November 2012.

According to sources, the acquired spectrum will enable Wind to launch high quality 4G LTE services in the coming years. Further, reports suggest that while the 2,600 MHz spectrum will be made available immediately, the 800MHz spectrum will be available from 2013, with a validity till 2029 for both spectrums.

Filed under:Mobile Tagged with: 4G • Italy • VimpelCom • Wind

VimpelCom and Turkcell may receive Pecik’s stake in Telekom Austria

On 10.24.11, In Mobile Operators, By Editor

According to reports, Austrian investor Ronny Pecik, may sell his 20% stake in Telekom Austria, to telecommunications company VimpelCom and Turkcell. As per sources, Hannes Ametsreiter, CEO, Telekom Austria said that according to Austrian law, investors are only required to disclose stake holdings of 5%. In the event that the investors raise their stake further, they are not obligated to disclose it.

Sources claim that Pecik plans to sell the stake over the next few years to VimpelCom in an attempt to make a 30% profit on his initial investment. Further, reports suggest that Pecik also aims to become a board member of Telekom Austria. As per reports, Telekom Austria said last week that Vienna-based Privatstiftung, which belongs to Pecik had acquired call options on 5.4% of the company’s shares. Further, the deals made by Pecik and his partners are being reviewed by Austria’s financial markets supervisory agency, to check if they are in violation of any shareholding-notification requirements.

Filed under:Mobile Operators Tagged with: Austria • Hannes Ametsreiter • Pecik • Privatstiftung • Telekom Austria • Turkcell • VimpelCom

Russia’s network-sharing deal in trouble over pricing problems

On 08.31.11, In Mobile, Mobile Operators, By Editor

Russia’s leading mobile network operators MTS, VimpelCom (Beeline), Megafon along with Rostelekom, had signed a deal with Yota to provide mobile broadband services via its LTE network, earlier this year. In the first of its kind, competing service providers will come together to offer their consumers better services via a single network. The said network is expected to serve over 70 million people across 180 cities in Russia in 2014. The deal benefits the operators by saving costs required to build an individual network while at the same time providing users faster access to 4G services. Reportedly, Dennis Sverdlov of Yota says that this network sharing approach will not only help the entire telecom industry but also boost the Russian economy.

However sources claim that this deal may already be facing a few problems especially in relation to pricing. Skartel owned Yota has valued itself at $1 billion creating a cause for concern for the operators. As per the agreement, each operator has the right to buy 20% shares in Yota once the network is completed, in 2014. However, industry insiders claim that the valuation may cause the deal to end as it has been inviting objections by the network operators. Talk are said to be ongoing between Skartel and the network operators.

Filed under:Mobile,Mobile Operators Tagged with: 4G • Beeline • Dennis Sverdlov • LTE • MegaFon • MTS • Rostelekom • Russia • Skartel • VimpelCom • Yota

Initial valuation of 4G services at US$3.3bn (Italy)

On 08.31.11, In Mobile, Mobile Operators, By Editor

The Italian government has reportedly received early offers totaling $ 3.3 billion for its 4G mobile frequencies to be auctioned this week. 4G technology provides a comprehensive and secure IP (Internet Protocol) solution, allowing users to access high quality video streaming along with voice and data at a much higher speed than previous generations.

As per reports, some of the operators that have put in their offers include Telecom Italia SpA, Vodafone Group Plc, Wind Telecomunicazioni S.p.A of VimpelCom Ltd. and Hutchison Whampoa Ltd.’s 3 Italia.

Filed under:Mobile,Mobile Operators Tagged with: 3 Italia • 4G • Hutchison Whampoa • Italy • Telecom Italia SpA • VimpelCom • vodafone group plc • Wind Telecomunicazioni S.p.A.

VimpelCom Q4 profits increase by 63% (Russia)

On 03.29.11, In Mobile, By Editor

VimpelCom has announced its financial results, and has reported that its Q4’10 revenues rose by 22% to US$2.8 billion, and net income jumped sharply by 62.7% to US$461.2 million. For the full year, revenues rose by 20.8% to US$10.5 billion, while net income was up by 49.2% to US$1.7 billion.

For the full year, the number of mobile subscriptions increased to 92.7 million an increase of 43.5% y-o-y; broadband subscriptions grew to 3.8 million showing an increase of 66.2% year on year.

Capex was $2.2 billion; Capex to revenue ratio was 21.2%, reflecting a significant step up in 4Q10.

Filed under:Mobile Tagged with: CAPEX • Financial Results • Mobile Subscriptions • Net Income • operator • Profits • Q4 • Russia • VimpelCom

Orascom Telecom plans to raise $2.4 bn (Egypt)

On 03.28.11, In Mobile, By Editor

Orascom Telecom (OT) has announced that it is planning to raise its capital to $2.35 billion from US$1.26 billion pounds and that it planned to divide the company into two.

Orascom will call a general meeting on April 13 to approve the company split as well as the capital increase, which it said it would use to fund its debt, but did not give any further details.

Shareholders of Russian mobile operator, VimpelCom earlier this month approved a $6 billion-plus purchase of Wind Telecom, which owns OT, creating one of the world’s biggest mobile operators by number of subscribers.

According to OT, the VimpelCom deal would improve its negotiating position with the Algerian government over the fate of its unit in the country.

The firm has been locked in a long-running dispute with Algeria over the unit, Djezzy, its biggest single source of revenue. Uncertainty over its future had complicated the VimpelCom deal.

Algeria’s government, which said it will nationalize Djezzy, has hit the unit with hundreds of millions of dollars in back taxes and barred it from moving profits abroad.

It also blocked Orascom from selling the unit to South Africa’s MTN.

Filed under:Mobile Tagged with: Algeria • Djezzy • Egypt • MTN • operator • Orascom Telecom • OT • Russia • South Africa • VimpelCom • Wind Telecom

FAS clears Beeline acquisition of NTC (Russia)

On 03.22.11, In Mobile, By Editor

Russian competition regulator FAS has given a clean chit for the acquisition of the regional mobile operator NTC by the mobile operator VimpelCom, working under the Beeline brand.

According to reports, applications from mobile operators MTS and MegaFon on the takeover have been rejected. NTC is controlled by Korea Telecom and it has a mobile market share of 40% in the Primorye region. The application of Beeline was approved by the regulator due to the modest market penetration in the region.

Filed under:Mobile Tagged with: Beeline • FAS • Market Penetration • MTS • NTC • operator • Russia • VimpelCom

Beeline to offer lower call rates to Kyivstar (Russia)

On 03.22.11, In Mobile, By Editor

Russian mobile operator VimpelCom, working under the Beeline brand is reducing its calls and SMS rates to Ukrainian mobile operator Kyivstar from 31 March. Kyivstar is part of the VimpelCom group.

The offer is available for prepaid users of the Beeline World tariff line, which offers the same rate for calling all Beeline networks in the CIS countries.

Filed under:Mobile Tagged with: Beeline • Calls • CIS • Kyivstar • operator • Russia • SMS • Ukraine • VimpelCom

VimpelCom shareholders approve combination with Wind Telecom S.P.A.

On 03.21.11, In Mobile, By Editor

VimpelCom Ltd. (“VimpelCom” or the “Company”) (NYSE: VIP) announced today that the Company’s shareholders approved all of the items on the agenda at today’s Special General Meeting, paving the way to complete the combination of VimpelCom and Wind Telecom S.p.A. (“Wind Telecom”) (the “Transaction”).

Alexander Izosimov, CEO and President of VimpelCom, commented: “The approval of this transformative combination with Wind Telecom by our shareholders will lead to the creation a new global telecom player with over 173 million mobile subscribers covering a population of 838 million people. The combined group will have a significantly diversified revenue base, substantially larger scale of operations, and potential synergies estimated to be US$2.5 billion on a net present value basis. This transaction and the shareholder vote underscore the Company’s dedication to delivering substantial value creation for shareholders and our commitment to corporate governance excellence.”

Shareholders representing 93.1% of the Company’s voting shares participated in the Special General Meeting. The resolutions at the Special General Meeting were approved by 53.3% of the voting shares that participated in the meeting. Of the Company’s public shareholders, present at the Special General Meeting 39.8% voted in favor of the resolutions and 60.2% voted against the resolutions.

The completion of the Transaction is subject to certain conditions precedent, such as receipt of regulatory approvals and receipt of funds to finance the Transaction. Completion of the Transaction is expected to occur in the first half of 2011.

About VimpelCom

VimpelCom Ltd. consists of telecommunications operators providing voice and data services through a range of wireless, fixed and broadband technologies. The VimpelCom Ltd. group is headquartered in Amsterdam and has operations in Russia, Ukraine, Kazakhstan, Uzbekistan, Tajikstan, Georgia, Armenia, Kyrgyzstan,Vietnam, Cambodia and Laos, covering territory with a total population of about 351,5 million. VimpelCom Ltd. operating companies provide services under the “Beeline” and “Kyivstar” brands. VimpelCom Ltd.’s ADSs are listed on the New York Stock Exchange under the symbol “VIP”.

About WIND TELECOM S.p.A.

WIND TELECOM S.p.A. is a leading international telecommunications company offering mobile, fixed, Internet and international communication services. WIND TELECOM S.p.A. owns 100% of Wind Telecomunicazioni S.p.A. and 51.7% of Orascom Telecom Holding SAE, which in turn operates GSM networks in Algeria,Bangladesh, Egypt, Pakistan, North Korea, and in Canada through its indirect equity ownership in Globalive Wireless. WIND TELECOM S.p.A., through its subsidiaries, is currently serving 117 million subscribers worldwide and is the entry point of choice for both technically advanced attractive markets and high-growth under-penetrated emerging markets.

Filed under:Mobile Tagged with: Alexander Izosimov • Algeria • Amsterdam • Armenia • Bangladesh • Cambodia • Canada • CEO and President • Egypt • Georgia • Kazakhstan • Kyrgyzstan • Laos • operator • Pakistan • Russia • Special General Meeting • Tajikstan • Ukraine • Uzbekistan • Vietnam • VimpelCom • Wind Telecom • Wind Telecom S.p.A.