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Tuesday, November 4, 2014

Canada approves sale of Wind Mobile to founder and his backers, (NASDAQ: VIP)

The Canadian government has approved the sale of Wind Mobile to a private equity consortium led by founder Anthony Lacavera, the country's industry ministry said on Tuesday. Industry Minister James Moore said that in order to win approval, the new owners agreed to spend heavily to purchase airwaves and grow their business while keeping a suitably Canadian corporate profile."In making my determination, I concluded that this acquisition will contribute to a more robust and competitive wireless industry in Canada," Moore said in a statement.Globalive Capital, the investment vehicle of Wind Mobile founder and chairman Anthony Lacavera, formed a group that agreed to pay Europe-based Vimpelcom Ltd just C$135 million ($118.45 million) for its majority equity stake in Wind.Wind, the country's No. 4 wireless provider, has struggled to compete with three national operators while burning through cash to buy airwaves and expand its infrastructure.

VimpelCom Ltd. (VimpelCom) is a holding company. The Company operates in Mobile Telecommunications Businessand Fixed-Line Telecommunications and Fixed Internet Business. Shares of VIP fell by 1.24% or $-0.08/share to $6.36. In the past year, the shares have traded as low as $5.62 and as high as $14.39. On average, 2484800 shares of VIP exchange hands on a given day and today's volume is recorded at 1484889.