VimpelCom divests majority stake in Sotelco

VimpelCom divests majority stake in Sotelco

VimpelCom has sold its entire stake in Cambodian carrier Sotelco to domestic businessman Huot Vanthan.

The Russian carrier is thought to have held a 90% indirect stake in the company - also known as Beeline - and has looked to divest assets in line with its Value Agenda strategy, which launched in November 2011.

The internal strategy places an increased importance on reducing working capital, effective tax rate and costs of funding.

Cambodian businessman Vanthan owns domestic fibre-topic network provider Telcotech together with Ezecom and has partnered with VimpelCom in the country.

“We have previously outlined our Value Agenda within which our operations are reviewed to assess their future value to the group,” VimpelCom CEO, Jo Lunder, said.

“The decision to sell our interest in Cambodia is a result of this process. We are happy that our long term partner in the company now takes control of the business in Cambodia.”

Financial details of the deal were not disclosed.

Gift this article