Swedish incumbent TeliaSonera has agreed to buy an additional 49% stake in Kazakh mobile operator Kcell for US$1.519bn.
The company also said that it would sell a 25% stake in the company, minus one share, in an IPO which is expected to take place at…
Swedish incumbent TeliaSonera has agreed to buy an additional 49% stake in Kazakh mobile operator Kcell for US$1.519bn.
The company also said that it would sell a 25% stake in the company, minus one share, in an IPO which is expected to take place at some point in 2012.
Kcell, which is the brand for GSM Kazakhstan, is currently 51%-owned by Fintur Holdings and 49%-controlled by Kazakhtelecom, the country’s incumbent.
But Fintur Holdings itself is held by TeliaSonera (58.55%) and Turkcell (41.45%), Turkey’s largest mobile phone operator.
This means that when the acquisition and listing are completed, TeliaSonera will effectively control 61.74% of Kcell, according to a statement.
Tero Kivisaari, president of TeliaSonera Eurasia, said: “This agreement is another step in the execution of our strategy of increasing ownership in core holdings. Through this transaction, TeliaSonera increases its ownership in Kcell, a company where we already have management and operational control. Kcell is a clear market leader in Kazakhstan, the largest market in Central Asia, and has shown remarkable growth over the years. The fact that part of the company will be sold in an IPO will make it even more attractive.”
