Qatar’s Power International Holding, a diversified business conglomerate, is set to acquire Kazakhstan’s Mobile-Telecom Service, a joint venture of Tele2 and ALTEL brands, for $1bn. This information was announced by Zhaslan Madiyev, Kazakhstan’s Minister of Digital Development, Innovation, and Aerospace Industry, on June 18.
"The arrival of a new Qatari investor is, in my opinion, a very important initiative. It is a new investment, it is an expansion of the investor base by attracting a new name, and it is an increase in competition in the market, as a new mobile operator enters the private sector. The amount of the deal is about a billion dollars. There are plans to invest in infrastructure, basic infrastructure. This is according to the plan and the commitments of this mobile operator," he said.
Power International Holding intends to invest around KZT 300bn (over $651mn) in infrastructure. This investment will encompass the construction of base stations and the installation of 5G base stations. Madiyev indicated that these enhancements are expected to increase competition in the telecom sector, potentially leading to better service quality.
"We believe that this will increase competition, and competition, as you know, leads to higher quality," he concluded.
Tele2, an international telecommunications company founded in Sweden in 1970, began its operations in Kazakhstan in 2011. ALTEL, established in 1994, was the first cellular mobile operator in Kazakhstan.
The acquisition and planned infrastructure investments are likely to strengthen Kazakhstan’s telecom industry, driving technological advancements and improved service provision. This transaction highlights the increasing interest and investment in Kazakhstan’s digital infrastructure by global entities.
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