Kyivstar to buy GigaCloud for $50 million to expand cloud solutions

Kyivstar acquires cloud provider GigaCloud for $50 million

Kyiv, October 28, 2026. Ukrainian mobile operator Kyivstar has announced the completion of its acquisition of GigaCloud, one of the key players in Ukraine’s cloud services market. The deal is worth nearly $50 million, significantly strengthening the company’s position in the corporate digital solutions segment.

This strategic acquisition is part of Kyivstar’s broader investment policy focused on developing cloud infrastructure, which is essential for data storage and the operation of digital services for both businesses and public institutions.

Expanding services and sovereign clouds

Founded in 2016, GigaCloud provides cloud infrastructure services (IaaS) with data centers in both Ukraine and Poland. The company serves more than 1,800 corporate clients, offering them computing power and data storage capabilities without the need to build their own infrastructure.

One of the key areas Kyivstar plans to develop after integrating GigaCloud is sovereign cloud solutions. This means creating infrastructure that meets strict requirements for data localization and control. In addition, the company aims to lay the groundwork for artificial intelligence services focused on Ukrainian businesses and the public sector.

President of Kyivstar Group Ltd. Oleksandr Komarov emphasized that GigaCloud has an established cloud business, a skilled development team, and extensive experience working with corporate clients. Combining these assets with Kyivstar’s own telecom infrastructure, customer reach, and investment capabilities will allow the company to significantly expand its portfolio of technology services for businesses.

Financial terms of the deal

The total value of the transaction is estimated at nearly $50 million. However, the full amount will not be paid at once. The payment structure includes:

• $41 million – the base purchase price.
• Up to $4 million – deferred debt obligations.
• Approximately $3 million – additional payments tied to agreed performance targets.
• Up to $2 million – reimbursement of capital expenditures (CAPEX).

Thus, about $5 million of the total deal value depends on GigaCloud’s future operating results and the successful implementation of joint investment projects. The valuation of GigaCloud took into account the company’s growth rate, client base, experience in cloud technologies, and potential for developing a joint business.

Kyivstar’s investment history in digital services

The acquisition of GigaCloud is another step in Kyivstar’s strategy to expand its presence in the digital services market. In recent years, the company has actively invested in various sectors:

• In August 2022, Kyivstar acquired 69.99% of the medical platform Helsi, and in May 2025 increased its stake to 97.99%.
• In 2025, the operator became the owner of 97% of the taxi and delivery service Uklon, investing $155.2 million.
• In February 2026, the company acquired the Tabletki.ua platform for $160 million, which allows users to search for and reserve medicines.
• It also acquired the regional internet provider Storm for 420 million hryvnias, contributing to the expansion of its fixed internet business.

Cloud technologies are not new to Kyivstar. Back in 2019, the company began cooperating with Microsoft in cloud solutions and artificial intelligence. In particular, it offers businesses Azure Stack, a cloud platform that provides access to Microsoft Azure tools with the ability to store data in Ukrainian data centers. In June 2025, Kyivstar also launched its own cloud service, Kyivstar Cloud.

After the deal is completed, GigaCloud will continue to operate as a separate business unit within Kyivstar Group Ltd., retaining its brand, management team, and founders.