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Mobitel wins frequency auction

7 Jan 2008

Georgian cellco Mobitel, which is majority-owned by Russian operator Vimpelcom and launched operations under its parent’s Beeline brand in March 2007, has won an auction held by the Georgian National Communications Commission (GNCC) for spectrum in the 850MHz band. Four firms applied to participate in the auction, held at the end of December: Magticom, Mobitel, Black Sea Telecom and Futurecom Invest. The documents provided by Black Sea Telecom and Futurecom Invest failed to meet the GNCC’s requirements, and Magticom dropped out of the bidding at a price of GEL27.9 million (USD15.8 million), leaving Mobitel the winner. The starting price of the four frequency blocks (880.335MHz to 883.365MHz, 887.055MHz to 889.515MHz, 925.335MHz to 928.365MHz and 932.055 to 934.515MHz) was GEL11.6 million. Under terms of the auction, Mobitel must now provide service in eleven regions of Georgia and the autonomous republic of Abkhazia within three years.

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