NJJ’s investment in Datagroup-Volia-Lifecell will amount to $1.5 bln

NJJ’s investment in Datagroup-Volia-Lifecell will amount to $1.5 bln

NJJ’s investment in Datagroup-Volia-Lifecell, owned by French billionaire Xavier Nel, will amount to $1.5 billion, which includes the purchase of 100% of the companies’ assets and investment ...

“For Ukraine, in fact, the issue of $1.5 billion in investments is being resolved, which includes the amount of the deal and capital investments to be made in the next five years,” Datagroup-Volia-Lifecell CEO Mykhailo Shelemba told Interfax-Ukraine.

He also noted that Datagroup-Volia-Lifecell, which will be established after the deal is completed, plans to participate in auctions for the allocation of 2355-2395 MHz, 1935-1950/2125-2140 MHz and 2575-2610 MHz mobile radio frequencies, which the National Commission for the State Regulation of Electronic Communications, Radio Frequency Spectrum and Postal Services may hold in August.

“Frequencies are the main asset for any mobile operator. Lifecell currently has enough frequencies to provide quality services, but we want to grow and will need more frequencies,” Shelemba said.

He emphasized that the entry of such an investor as NJJ into the tender “will increase competition for frequencies by an order of magnitude, so the state will be able to raise more money.”

“And we are talking about tens of millions of dollars…” Shelemba said.

Earlier it was reported that the investment company NJJ, owned by French billionaire Xavier Nel, will merge their assets into a single company that will offer customers a triple package of services after the acquisition of Datagroup-Volia fixed-line telecommunications operator and lifecell mobile operator. Mr. Shelemba will head the combined Datagroup-Volia-Lifecell platform. Pierre Danon, the current chairman of the supervisory board of Datagroup-Volia, will also continue to serve as chairman of the supervisory board of the combined entity.

The transaction is subject to final regulatory approvals and other closing conditions. As reported earlier, the Antimonopoly Committee of Ukraine (AMCU) has found grounds to ban the acquisition of control over Lifecell Group by DVL Telecom, a member of the NJJ group of French billionaire Xavier Niel. At a meeting on March 7, the AMCU allowed DVL Telecom to acquire control of Datagroup Holding Limited (Datagroup-Volia).

Turkcell CFO Kamil Kalyon confirmed during the investor Q&A session at the company’s 2023 financial results presentation that the transaction with NJJ was set at $525 million at the time of closing, but the final amount would be subject to adjustment.

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