Russia’s MTS sells its business in Ukraine for $734 mln

The relevant report has been posted on the website of MTS on November 25.

“Russia’s leading telecommunications operator and digital services provider, announces the signing of a binding agreement with Telco Solutions and Investments LLC, controlled by telecommunication company Bakcell LLC, which is a part of NEQSOL Holding international group of companies, to sell its telecommunications operations in Ukraine,” reads the report.

In accordance with the agreement, MTS’s wholly owned subsidiary Allegretto s.a.r.l. sells its 100% stake in its Dutch subsidiary Preludium B.V. (the “Company”), the sole shareholder of VF Ukraine PrJSC, for cash consideration of USD 734 million.

The transfer of the company’s shares is expected in near future.

It is noted that the change of owner will not affect Vodafone Ukraine. The company will continue to provide services under the Vodafone brand.

As Ukrinform reported, in late October 2019, the Antimonopoly Committee of Ukraine allowed the Azerbaijani mobile operator to purchase Vodafone Ukraine.

According to the Antimonopoly Committee, the acquisition of Vodafone Ukraine will allow the Azerbaijani company to acquire indirect control over the Ukrainian mobile operator known under the Vodafone brand.

Vodafone is one of the world's largest telecommunications companies and provides a range of services including voice, messaging, data and fixed communications.

Vodafone has mobile operations in 24 countries, partners with mobile networks in 42 more, and fixed broadband operations in 18 markets

As of June 30, 2019, Vodafone had about 640 million mobile subscribers and 21 million fixed broadband customers.

Bakcell is the mobile communications operator and a leading provider of mobile Internet in Azerbaijan. It operates in GSM, UMTS and LTE standards.

Bakcell is one of the largest investors into the economy of Azerbaijan.

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