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VEON accelerates shareholder returns through increased share buybacks and accelerated cancellations

Executive summary: VEON has officially announced an increase in its share buyback program alongside an accelerated schedule for share cancellations. These actions are designed to reduce the total number of shares outstanding, thereby increasing earnings per share (EPS) and signaling financial strength to the market.

Who is involved: VEON

Likely next: Execution of the expanded buyback program and subsequent updates on the total number of shares cancelled in upcoming financial reports.

VEON is intensifying its capital return strategy by expanding its share buyback program and speeding up the cancellation of existing shares. This move signals management's confidence in the company's cash flow generation and its commitment to enhancing per-share value for investors. The decision follows a period of significant digital revenue growth and expansion of its financial services ecosystem.

What's next — scenarios

Base: Successful execution of buyback (70%)

Steady reduction in share count and positive pressure on EPS.

Upside: Accelerated capital return driven by digital growth (20%)

Further increases in buyback amounts if digital service margins exceed expectations.

Downside: Program suspension due to macroeconomic volatility (10%)

Reduction in shareholder returns and potential market sell-off.

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