What's Going On With Telecom Company VEON's Shares Today?

VEON Ltd. VEON has appointed former U.S. Secretary of State Michael R. Pompeo as an independent non-executive director of the Board of Directors of wholly-owned Ukrainian subsidiary Kyivstar.

In addition, VEON Group CEO Kaan Terzioglu has been appointed as Chair of the Kyivstar Board of Directors. 

The latest development comes weeks after the firm challenged a freeze on its corporate rights in a local court, according to a news report by Bloomberg.

Pompeo served as the 70th U.S. Secretary of State from 2018 to 2021.

Also Read: VEON Finishes First Phase Of 4G Network Upgrade Across Uzbekistan, Gears Up For Phase 2 Next Month

In October, Ukraine's security service announced that local courts had seized the rights of three sanctioned Russian businessmen across 20 companies amid ongoing criminal proceedings, according to the report. Among these businessmen was Russian billionaire Mikhail Fridman.

LetterOne Investment Holdings, which was set up by Fridman, owns about 48% in Veon, Bloomberg noted. Following the imposition of sanctions, he resigned from the boards of both companies.

However, Veon has stated before that none of the individuals referred to in the seizure by the security services hold shares in either the company itself or its subsidiary.

As previously announced, VEON has committed $600 million in investments in Ukraine over the next three years alongside the launch of its "Invest in Ukraine NOW!" initiative, inviting other international companies to commit to Ukraine's rebuilding. VEON has exited Russia, announcing the completion of the sale of its Russian subsidiary on October 9, 2023.

"These changes to Kyivstar's Board of Directors reflect VEON's commitment to Ukraine and to the recovery and reconstruction of the country," the company said in a release. 

Price Action: VEON shares are trading higher by 3.16% to $20.22 on the last check Wednesday.