Nordic Business Report-February 13, 2006-Telenor comments on possible merger between VimpelCom and Kyivstar
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Norwegian telecomms group Telenor ASA said on Monday (13 February) that key corporate governance issues would have to be resolved before Telenor is willing to discuss a possible merger between VimpelCom and Kyivstar. The comment was an initial response to a letter from VimpelCom which proposed that VimpelCom acquire Ukrainian mobile operator Kyivstar, in which Telenor holds 56.3% of the shares and Alfa the remaining 43.5%. Telenor added that it regrets that such confidential information had been leaked to the press. Telenor and Altimo, both being major shareholders in VimpelCom and Kyivstar, have important unresolved governance issues, according to the company. These issues need to be discussed and resolved before Telenor is prepared to enter into such discussions. A key issue would also be the position of the Russian authorities with respect to Telenor's long-term industrial ambitions.
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