Kyivstar Group Ltd. (Nasdaq: KYIV), the parent company of Kyivstar, Ukraine’s largest telecommunications operator, announced the acquisition of GigaCloud, one of Ukraine’s leading cloud infrastructure providers, for nearly 2.28 billion UAH (nearly $50 million) to expand its capabilities in the field of cloud solutions for businesses.
“By combining these strengths with our telecommunications infrastructure, scale of customer engagement, and investment capabilities, we will be able to help even more companies modernize their operations and develop a more robust technology business for the corporate segment,” Kyivstar Group Ltd. President Alexander Komarov is quoted as saying in the press release.
He added that this acquisition will contribute to the development of the infrastructure Ukraine needs in the long term.
The transaction is expected to close after the standard closing conditions for such agreements are met. GigaCloud will continue to operate as a separate business unit within Kyivstar Group Ltd., retaining its own brand and management team.
In particular, the company’s founders are expected to continue leading the business.
Furthermore, the agreement does not entail any changes to existing customer contracts, service levels, or commercial terms.
“Together with Kyivstar Group Ltd., we will be able to accelerate investments in infrastructure, expand our market presence, and continue to provide the high-quality services our customers expect,” noted Nazariy Kurochko, CEO and co-founder of GigaCloud, in a press release.
For his part, GigaCloud co-founder Anton Khvastunov emphasized that this partnership will strengthen the company’s ability to scale secure cloud services and enable it to continue contributing to Ukraine’s digital development.
Kyivstar added that this investment will expand the operator’s technological capabilities for the corporate sector, as well as strengthen the company’s future potential in the field of sovereign cloud infrastructure and enable the development of artificial intelligence (AI)-based services tailored to the needs of Ukrainian businesses and government agencies.
It is noted that GigaCloud, founded in 2016, currently serves more than 1,800 corporate clients. The company specializes in providing relevant services to businesses. Among the company’s clients are the Kernel agricultural holding, Naftogaz, and others.
The mobile operator’s press release specifies that, according to unaudited management financial statements, the company generated approximately $14 million in revenue and $4.7 million in EBITDA in 2025, corresponding to an EBITDA margin of about 34%.
“The agreement is expected to have a positive impact on the development of Kyivstar Group Ltd. The valuation of the transaction takes into account GigaCloud’s growth rate, its expertise in cloud technologies, its leading market position, and the expected synergies from the business combination,” Kyivstar emphasized.
It is noted that the transaction structure includes a $41 million purchase price, up to $4 million in deferred debt obligations, as well as approximately $3 million in payments tied to the achievement of agreed-upon performance metrics, and up to $2 million in compensation for capital expenditures (CAPEX) in accordance with the terms of the deal.
As reported this summer, the Antimonopoly Committee of Ukraine authorized Kyivstar PJSC to acquire control over GigaCloud LLC, the cloud provider GigaCloud.
In June 2025, the mobile operator launched its own cloud service for Ukrainian users, Kyivstar Cloud, which is available to small, medium, and large businesses, as well as public sector organizations.
In the first half of 2026, Kyivstar increased its revenue by 29.1% compared to the same period in 2025—to 28.9 billion UAH—and by 22.8% in U.S. dollars, to $662 million.
Kyivstar’s net profit for this period increased by 36.1% compared to the same period in 2025—to 7.1 billion UAH, or 28.8% in U.S. dollars, to $162 million.
