VEON Regains Compliance with Nasdaq Listing Rules

VEON Ltd., a global digital operator, has announced that it has filed its Annual Report on Form 20-F for the year ended December 31, 2023, with the U.S. Securities and Exchange Commission. This filing puts VEON back on track with its listing compliance requirements, following a delay earlier this year.

The company had previously announced that it would be delayed in filing its 2023 Form 20-F due to extraordinary circumstances related to the war in Ukraine and the sale of its Russian operations. This impacted its ability to appoint an independent Public Company Accounting Oversight Board (PCAOB) registered audit firm. As a result, VEON received notice from Nasdaq that it was not in compliance with the timely filing requirements for continued listing under Nasdaq Listing Rule 5250(c)(1).

However, VEON has now appointed UHY LLP as its PCAOB auditors for the 2023 Form 20-F and has submitted its annual report, regaining compliance with Nasdaq listing rules. The company's plan to regain compliance, which was accepted by the Listing Qualifications Department of The Nasdaq Stock Market, granted VEON an exception for its delayed 2023 Form 20-F filing.

In addition to filing its Form 20-F, VEON has also remediated a previously identified material weakness in its internal controls over financial reporting. This weakness related to the accounting treatment and financial statement presentation for disposals of businesses. During the second half of 2023, VEON implemented significant improvements to the design and operation of its control environment, successfully remediating the material weakness. The company's 2023 PCAOB audit also confirmed the remediation as of December 31, 2023.

The successful PCAOB audit and remediation of the material weakness demonstrate VEON's commitment to maintaining strong internal controls and compliance with regulatory standards. This, in turn, enhances the company's reputation and investor confidence. Furthermore, the remediation of the material weakness is likely to positively impact VEON's ability to attract and retain investors, particularly those focused on ESG factors.

In conclusion, VEON's timely filing of its 2023 Form 20-F and the successful remediation of the material weakness in its internal controls over financial reporting are significant steps in regaining compliance with Nasdaq listing rules and maintaining the company's strong reputation. These actions are expected to have a positive impact on VEON's creditworthiness, borrowing costs, and investor confidence.