Veon is taking full ownership of Pakistan Mobile Communications Limited (PMCL), which trades as Jazz.
The 100% shareholding will be achieved by Veon’s acquisition of the 15% stake in Jazz held by The Dhabi Group. CommsUpdate reports that the local firm – a partner of Veon’s – has exercised its put option to sell the holding.
According to local outlet Pakistan Today, Veon’s accounts consider the ‘put option’ to be a “liability over a non-controlling interest”, the value of which is reviewed quarterly. An independent valuation of the holding is required for the transaction to proceed, although it is expected to close in Q4 2020.
Veon has stated that taking 100% ownership over Jazz will allow it to “simplify and streamline governance over its Pakistani assets, as well as capture the full value of dividends paid by PMCL.”
