4 Jul 2023 17:25

Kyrgyzstan puts mobile operator Alpha Telecom up for sale

BISHKEK. July 4 (Interfax) - The State Agency for State Property Management under the Cabinet of Ministers of Kyrgyzstan announced an electronic auction for the sale of the state's 100% share in Alfa Telecom CJSC (trademark Mega), the largest cellular operator in the country.

The starting price for the block of shares is 14.6 billion som, or $167.2 million at the official rate, the Cabinet's press service said. The electronic auction is scheduled for October 2, 2023, with applications being accepted as of July 4.

Alfa Telecom provides cellular communication and data transmission services in 2G, 3G and 4G standards. In addition, it is engaged in the provision of services for the design, construction, and installation of networks, systems and telecommunication devices. It is the national operator for fiscal data and labeling, and provides mobile financial services (trademark MegaPay). The subscriber base is 2.548 million subscribers.

Alfa Telecom is included in the state privatization program for 2023-2025.

As reported, Alfa Telecom was established in June 2009. The owner of the company was one of the close associates of Alexei Eliseev, the son of former President of Kyrgyzstan Maxim Bakiyev. After the change of power in the republic in the spring of 2010, the interim government nationalized 49% of the shares of the company, and subsequently the remaining 51% of the shares became the property of the state by court decision. The government of Kyrgyzstan has repeatedly put all its shares of the mobile operator up for auction, but has not been able to find a buyer.

The official exchange rate as of July 4 is 87.3106 som/$1.