The Kyivstar GigaCloud deal is valued at up to $50 million and would bring the Ukrainian cloud infrastructure provider into Kyivstar Group. Announced on October 27, 2026, the acquisition remains subject to customary closing conditions.
Key Takeaways
- The transaction includes a $41 million acquisition price and additional debt, performance-related and capital expenditure components.
- GigaCloud serves more than 1,800 enterprise customers and has infrastructure in Ukraine and Poland.
- Kyivstar expects GigaCloud to retain its brand and management team after completion.
Kyivstar GigaCloud deal terms
The transaction comprises a $41 million acquisition price, up to $4 million in deferred non-adjustable debt, approximately $3 million in performance-related consideration and up to $2 million in capital expenditure reimbursement, subject to the agreement’s terms.
Approximately $5 million of the total consideration is linked to future performance and capital investment milestones. Kyivstar said it expects the transaction to be immediately accretive to earnings and cash flow, although that is an expectation rather than a completed result.
| Item | Details |
|---|---|
| Acquisition price | $41 million |
| Deferred non-adjustable debt | Up to $4 million |
| Performance-related consideration | Approximately $3 million |
| Capital expenditure reimbursement | Up to $2 million |
Cloud services and customer operations
Founded in 2016, GigaCloud generated approximately $14 million in revenue and $4.7 million in EBITDA in 2025, based on preliminary, unaudited management accounts. Its reported EBITDA margin was approximately 34%.
Kyivstar said the acquisition would combine its connectivity and customer reach with GigaCloud’s cloud expertise and infrastructure. The company also sees a platform for developing AI-enabled services for Ukrainian businesses and public institutions.
After completion, GigaCloud is expected to operate as a separate Kyivstar business unit, with its founders continuing to lead it. No changes to existing customer contracts, service levels or commercial terms are planned as a result of the transaction.
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This FinanceVelix article provides general information, not personalized financial, investment, legal, or tax advice. Market prices, interest rates and economic conditions can change; investments carry a risk of loss. Facts reflect the material available when published and may change. Check important information independently and consult a qualified professional when needed. Mentioning an asset, company, or service is not an endorsement.
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