Russian integrated provider of digital services and solutions Rostelecom has acquired 100% of the share capital of TVE-Telecom for RUB 1.7 billion (GBP 17 million).
TVE-Telecom is a Mobile Virtual Network Enabler (MVNE) platform provider which helps develop virtual mobile operators and manage their products and services. The final deal value will depend on certain KPIs execution.
According to a company statement, the acquisition will accelerate the growth of Rostelecom’s MVNO business and further progress the strategy to create a single infrastructure for virtual products and solutions under the management of Tele2 Russia, independently from third parties.
TVE-Telecom will join the Rostelecom Group as a subsidiary and will become a centre of competence for the growth of existing and new MVNO projects, it said.
Andrey Patoka, CEO of Tele2 Russia said: “In the next few years, the MVNO market is expected to post a double-digit growth according to our estimations. The deal enables us to reinforce our leadership in the MVNO segment, unlock cost-saving opportunities for Tele2 Russia in acquiring new clients, and enhance customer care through the provision of bespoke client solutions and services.”
TVE-Telecom platform is currently deployed by Tele2 Russia and has secured an overall client base of over one million users.