Ukrtelecom privatisation could still happen this year

24 Sep 2010

The Ukrainian government is discussing plans to push through the privatisation of the country’s incumbent national PSTN operator and sole 3G mobile provider Ukrtelecom by the end of the year, after the issue was put under discussion again on Wednesday, reports RIA Novosti. Ukraine announced plans in May to sell its entire 92.79% in Ukrtelecom for at least UAH10 billion (USD1.26 billion) by the end of the year, but officials later said the sale could be postponed as a final decision on the future of a ‘social telephony’ programme subsidising charges for low-income and rural residents had not been made. TeleGeography’s CommsUpdate reported at the beginning of this month that Ukrtelecom is to be offered at an increased starting price of UAH12 billion, according to an announcement made by the State Property Fund (SPF). The Ukrainian Cabinet approved in August 2010 a financial plan for the company, estimating revenues of UAH8 billion (or around USD1 billion) and a net profit of UAH109 million, compared to losses of UAH456.4 million in 2009. Plans to privatise Ukrtelecom have been in the works since the 1990s.

Ukraine, Ukrtelecom (incl. TriMob)