Ukrainian telecom operator "Kyivstar" has entered into an agreement to acquire GigaCloud, one of the largest domestic cloud infrastructure providers. The maximum value of the transaction will be 50 million dollars, or about 2.28 billion hryvnias. The acquisition should strengthen the company's position in the corporate digital services market.

Kyivstar Group Ltd. reported this on October 28. The company has already signed the relevant agreement, but its final completion still depends on the fulfillment of standard closing conditions.

The base purchase price for GigaCloud is 41 million dollars. Up to another 4 million dollars falls on deferred debt obligations, about 3 million dollars - on payments for achieving certain financial and operational indicators, and up to 2 million dollars - on compensation for capital investments.

Thus, part of the final amount will depend on the future performance of GigaCloud and the implementation of agreed investment projects.

The acquisition of GigaCloud will allow "Kyivstar" to expand its presence in the cloud technology market, combining telecommunications infrastructure with corporate cloud services and cybersecurity solutions.

GigaCloud has been operating since 2016 and serves over 1,800 corporate clients. The provider's infrastructure is located in Ukraine and Poland. Among its customers are large enterprises and government institutions.

According to preliminary unaudited financial results, in 2025 GigaCloud's revenue was about 14 million dollars, and EBITDA was 4.7 million dollars. EBITDA margin reached approximately 34%.

Kyivstar Group expects the acquisition to have a positive impact on the company's financial results and cash flows. In addition, the combination of technological capabilities should create the basis for the development of corporate services using artificial intelligence.

Kyivstar Group President Oleksandr Komarov noted that GigaCloud has an established cloud business, its own research competencies, and a team of engineers. Their combination with the resources of the telecom operator should accelerate the development of digital products for Ukrainian enterprises.

After the completion of the deal, GigaCloud will retain its own brand and management. The company will operate as a separate business unit of Kyivstar Group, and its founders will continue to participate in management.

For current GigaCloud clients, there are no plans to change contract terms, tariffs, or service levels in connection with the acquisition.

Antimonopoly Committee previously approved the acquisition

Information about a possible deal first appeared in September 2025. At that time, "Kyivstar" submitted an application to the Antimonopoly Committee of Ukraine for permission to acquire a stake in GigaCloud.

In January 2026, the AMCU began consideration of the case regarding the acquisition of control over the cloud provider, and on July 9 allowed the concentration subject to certain commitments.

The regulator drew attention to possible risks for competition due to the combination of cloud services with mobile and fixed-line communications.

In particular, "Kyivstar" undertook not to make access to GigaCloud's cloud services dependent on the purchase of its own telecommunications services. Customers should retain the ability to use cloud infrastructure regardless of the chosen internet provider.

Also, the company cannot set discriminatory conditions for consumers who refuse other products of the group. The AMCU will monitor the fulfillment of these commitments, in particular on the basis of annual reporting.

"Kyivstar" has been developing its own cloud direction since 2025, when it launched the Kyivstar Cloud platform for business and the government sector. The acquisition of GigaCloud should accelerate the expansion of this segment and reduce the company's dependence on traditional telecommunications services.

As of October 28, the agreement has been signed, but the final completion of the acquisition and the transfer of control over GigaCloud has not yet been reported.

Source: Kyivstar Group, Antimonopoly Committee of Ukraine, Forbes Ukraine