---
title: "Kyivstar Acquires Cloud Provider GigaCloud for Up to $50M: What Known About the Deal"
description: "Kyivstar Group Ltd. has announced the acquisition of Ukrainian cloud provider GigaCloud for up to $50 million. The deal will expand the operator's corporate cloud, AI, and cybersecurity services."
date: 2026-10-28T13:23:40.844Z
lang: en
url: https://xab.info/en/posts/kyivstar-acquires-gigacloud-for-50-million
tags: [kyivstar, gigacloud, cloud-infrastructure, veon, digital-transformation, m-a, ukraine-tech]
author: "Darya Fomina"
publisher: "XAB.info"
---

# Kyivstar Acquires Cloud Provider GigaCloud for Up to $50M: What Known About the Deal

![Woman talking on the phone in front of a building and Kyivstar mobile operator sign](https://xab.info/media/2026/10/28/kievstar-pokupaet-gigacloud-za-50-mln/kievstar-pokupaet-gigacloud-za-50-mln-1.webp)

## Key Points

- Kyivstar Group signed an agreement to acquire GigaCloud for up to $50 million (UAH 2.28 billion)
- GigaCloud serves over 1,800 corporate clients, with 2025 revenue around $14 million and EBITDA of $4.7 million
- About $5 million of the deal amount is tied to future operational metrics and CAPEX projects
- GigaCloud will retain its brand, management team, and commercial terms for clients
- The deal aims to develop sovereign cloud, cybersecurity, and AI services for businesses and the public sector

Kyivstar Group Ltd. (Nasdaq: KYIV; KYIVW), Ukraine's leading digital operator and part of the international VEON group, has announced the signing of an agreement to acquire GigaCloud, one of the largest cloud infrastructure providers in the Ukrainian market. The total value of the transaction is up to 2.2769 billion Ukrainian hryvnias (up to 50 million US dollars). According to Inventure magazine, preparing the deal took over a year and required approval from the Anti-Monopoly Committee of Ukraine. The investment aims to expand the operator's technological capabilities in the corporate segment: Kyivstar is combining communication services, cloud infrastructure, and cybersecurity solutions to help businesses and government institutions accelerate digital transformation.

### Structure and Financial Terms of the Transaction

According to the disclosed terms, the acquisition structure includes $41 million in base value, up to $4 million in deferred debt obligations, approximately $3 million in payments tied to the achievement of agreed performance metrics, and up to $2 million in capital expenditure (CAPEX) compensation. Thus, about $5 million of the total transaction amount depends on GigaCloud's future operational results and the implementation of specific investment projects. The transaction will close upon fulfillment of standard closing conditions typical for such corporate acquisitions. The company stated that the valuation takes into account GigaCloud's growth rates, its expertise in cloud technologies, leading market position, and the expected synergistic effect of combining the businesses.

### GigaCloud: Business Metrics and Client Base

GigaCloud was founded in 2016 and, at the time of the announcement, serves over 1,800 corporate clients. According to unaudited management reporting, in 2025 the company generated about $14 million in revenue and $4.7 million in EBITDA, which corresponds to an EBITDA margin of approximately 34%. The provider's infrastructure is located in Ukraine and Poland, providing clients with access to a distributed cloud platform. GigaCloud complements Kyivstar's portfolio with a broad corporate client base, deep expertise in cloud technologies, and its own R&D competencies.

### Sovereign Cloud, Cybersecurity, and AI

The agreement strengthens Kyivstar's position in sovereign cloud infrastructure and establishes a foundation for developing artificial intelligence-based services tailored to the needs of Ukrainian businesses and government agencies. Kyivstar Group President Oleksandr Komarov emphasized that GigaCloud brings to the group “an established cloud business, deep expertise in cloud technologies, robust R&D competencies, and an experienced team.” He noted that combining these resources with Kyivstar's telecom infrastructure, client scale, and investment capabilities will help modernize operations for more companies and develop technology business for the corporate segment. Komarov also stated that the acquisition is “an important step in implementing the digital strategy” and will contribute to developing the infrastructure Ukraine needs in the long term.

### The Future of GigaCloud within Kyivstar

Upon completion of the transaction, GigaCloud will continue to operate as a separate business unit within Kyivstar Group Ltd., retaining its own brand and management team. The company's founders are expected to continue managing the business. The transaction will not result in any changes to existing client contracts, service levels, or commercial terms. GigaCloud CEO and co-founder Nazarii Kurochko stated that the company “is built on client trust and team expertise,” and the partnership with Kyivstar will accelerate infrastructure investments and expand market presence. GigaCloud co-founder Anton Khvastunov added that amid growing demand for sovereign cloud solutions, the partnership strengthens capabilities to scale secure cloud services and contribute to Ukraine's digital development.

### Context: Focus on Digital Infrastructure

The acquisition of GigaCloud is a continuation of Kyivstar Group's strategic course toward developing digital services and investing in critical technological infrastructure. Previously, the company signed a definitive agreement and completed the acquisition of 100% of the shares of the online platform Tabletki.ua, confirming the consistent expansion of its digital portfolio beyond traditional telecommunication services. Experts note that amid heightened demand for secure and sovereign cloud solutions from businesses and the public sector, such transactions are becoming a key instrument for shaping the national digital ecosystem.

## Fact-Check & Sources

- [Kyivstar Group Ltd. подписал соглашение о приобретении GigaCloud: что известно](https://www.rbc.ua/ukr/news/kyivstar-group-ltd-pidpisav-ugodu-pridbannya-1793186239.html) - Primary source: official press release from Kyivstar Group detailing financial particulars, leadership quotes, and GigaCloud's business metrics.
- [«Киевстар» подписал соглашение о приобретении GigaCloud за $50 млн](https://inventure.com.ua/news/ukraine/kievstar-podpisal-soglashenie-o-priobretenii-gigacloud-za-dollar50-mln) - Confirms the deal structure, amount, preparation timeline (over a year), and the need for Antimonopoly Committee approval. Data matches the primary source completely.

## FAQ

### How much is the GigaCloud acquisition deal worth?

The total value of the transaction is up to 2.2769 billion Ukrainian hryvnias (up to 50 million US dollars), including $41 million in base value, up to $4 million in deferred debt obligations, about $3 million in performance-based payments, and up to $2 million in CAPEX compensation.

### What is GigaCloud and how many clients does it have?

GigaCloud is a Ukrainian cloud infrastructure provider founded in 2016. At the time of the deal, the company serves over 1,800 corporate clients, and its infrastructure is located in Ukraine and Poland.

### Will GigaCloud retain its brand and team after the acquisition?

Yes. GigaCloud will continue to operate as a separate business unit within Kyivstar Group, retaining its own brand and management team. The founders will continue to manage the business, and client contract terms will not change.

### What financial performance did GigaCloud report for 2025?

According to unaudited management reporting, in 2025 GigaCloud generated about $14 million in revenue and $4.7 million in EBITDA, representing an EBITDA margin of approximately 34%.

### What strategic goals is Kyivstar pursuing by acquiring GigaCloud?

The deal aims to expand corporate digital services by combining telecom infrastructure with cloud technologies, developing a sovereign cloud, cybersecurity solutions, and artificial intelligence-based services for businesses and government institutions.