VEON Ltd.’s (NASDAQ: VEON) Pakistani Operating Company, Jazz, Secures $320 Syndicated Credit Facility

VEON Ltd. (NASDAQ: VEON) gained following the announcement that its Pakistan operating company, Jazz, had secured a $320 million syndicated credit facility from a Habib bank Limited-led consortium. The ten-year credit facility will finance the company’s 4% network rollout and tech upgrades and settle upcoming maturities. 

Several banks fully subscribe to Jazz’s $320 credit facility 

In terms of size and duration, this facility is the first of its sort to be extended to the local telecommunication sector. Habib Bank Limited, the mandated lead arranger and consortium’s investment agent, has fully subscribed to the facility. Others who have subscribed to the facility include National Bank of Pakistan, United Bank Limited, MCB Bank, Allied Bank Limited, Bank Alfalah, Askari Bank Limited, Meezan Bank Limited, Faysal Bank Limited,  and Bank of Punjab.  All these banks were also acting as mandated lead arrangers and advisors on this deal.

Currently, Jazz has more than 69 million members and over 28 million 4G users nationally, making it the country’s top digital services provider. The corporation has invested $ 462 million in 4G infrastructure during the last two years. Recently, Pakistan Credit Rating Agency Limited, highlighting the company’s strong financial roots,  upgraded Jazz’s long-term rating to ‘AA’ with a stable outlook.

VEON’s VFO, Serkan Okandan, said, “This facility is a further milestone in our ongoing efforts to improve the Group’s capital structure by increasing local borrowing in order to match our local currency revenues while extending the maturity of our debt portfolio.”

VEON launched a mobile phone-linked digital payment card in Kazakhstan 

Recently the company announced that its Kazakhstan operating company, Beeline, had launched Kazakhstan’s first digital payment card integrated with mobile financial services. The service is linked to the customer’s number, electronic wallet, and a digital Visa Platinum card. Interestingly the card can be integrated with digital wallets Samsung Pay, Garmin Pay, and Apple Pay.

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