This Day On The Street
Continue to site
ADVERTISEMENT
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here

VimpelCom Postpones Registration Of Transfer Of Preferred Shares To Telenor

AMSTERDAM, Oct. 1, 2012 /PRNewswire/ --  VimpelCom Ltd. ("VimpelCom" or "Company") (NYSE: VIP), a leading global provider of telecommunications services, announces that its Nominating and Corporate Governance Committee (the "Committee") has decided to delay the registration of the requested transfer of 71,000,000 convertible preferred shares (the "Preferred Shares") from Weather Investments II S.a r.l. ("Weather II") to Telenor East Holding II AS ("Telenor") until the order issued by the Moscow Arbitration Court prohibiting such transfer (the "Order") ceases to have effect.

The Committee, acting under a unanimous delegation of authority from the Supervisory Board, met today to consider Telenor's request to register the Preferred Shares transfer.  The Committee determined that it is in the best interests of VimpelCom not to register the transfer of Preferred Shares to Telenor by Weather II at this time.  The Committee took into account the potential adverse consequences for VimpelCom's Russian business if the Order is considered by the Russian authorities to have been breached with the support and participation of VimpelCom. 

Background

As previously disclosed, in April 2012 the Moscow Arbitration Court issued the Order against Telenor and Weather based on a claim made by the Federal Antimonopoly Service in Russia (the "FAS"). The Order prohibits, among other things, Weather II from exercising its rights under an option agreement to transfer the Preferred Shares to Telenor.  The Moscow Arbitration Court also issued a separate order that prohibits the payment of dividends to shareholders of OJSC VimpelCom based on the results of operations in 2011.

VimpelCom received a letter from the FAS dated September 19, 2012 which notes that FAS is engaged in negotiations with shareholders of VimpelCom. In the letter, FAS suggests that in the interests of these negotiations, VimpelCom should not register any transfer of the Preferred Shares from Weather II to Telenor.  The letter also states that the Order prohibiting the transfer of the Preferred Shares is a binding judicial act and suggests that VimpelCom not participate in any breach of that Order by registering a share transfer.

The Nominating and Corporate Governance Committee consists of the three independent directors serving on the Supervisory Board.

1 of 3

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free
Dividend Stock Advisor

David Peltier identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Options Profits

Our options trading pros provide over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • Actionable options commentary and news
  • Real-time trading community
SYM TRADE IT LAST %CHG

Markets

Chart of I:DJI
DOW 16,351.38 +293.03 1.82%
S&P 500 1,948.86 +35.01 1.83%
NASDAQ 4,749.9790 +113.8740 2.46%

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs