Power International Holds Landmark Telecom Acquisition in Kazakhstan
Deal News | Jan 20, 2025 | PR Newswire Cision Power International Holdings; QNB Group; Citi
Power International Holding (PIH), a Qatari-based global conglomerate, has successfully acquired 100% of Mobile Telecom-Service LLP (MTS) from Kazakhtelecom JSC. This acquisition, completed on January 20, 2025, builds on an agreement initiated on February 14, 2024, with stakeholders including the sovereign wealth fund Samruk-Kazyna. MTS, a leading telecommunications provider in Kazakhstan since 2004, is noted for its ultrafast 5G services. The deal was financed with the strategic participation of Citi and QNB as lead coordinators, along with support from other financial institutions such as Halyk Bank and ICBC Standard Bank Plc. This transaction marks PIH's ambitious expansion into Kazakhstan's telecom market, bolstering its strategic growth in digital and telecommunication sectors across multiple countries. QNB Group’s CEO, Abdulla Mubarak Al-Khalifa, stressed the acquisition’s potential for regional connectivity and economic growth. Citi’s involvement underscores its expertise in structuring acquisition finance in emerging markets. PIH heralds this deal as a major step in diversifying its investment portfolio, aligning with its broader vision for global digital transformation.
Sectors
- Telecommunications
- Finance
Geography
- Qatar – Power International Holding, the acquiring company, is headquartered in Qatar, and the strategic planning and coordination for the transaction were based there.
- Kazakhstan – The acquired company, Mobile Telecom-Service LLP, operates in Kazakhstan, and the acquisition represents PIH's expansion into this region's telecommunications market.
Industry
- Telecommunications – The article focuses on the acquisition of Mobile Telecom-Service LLP, a prominent player in Kazakhstan's telecom industry known for its 5G services, reflecting the sectoral involvement.
- Finance – Banks and financial institutions like Citi and QNB are central to financing the acquisition, highlighting the financial services industry's crucial role in facilitating M&A activities.
Financials
- 100% – Acquisition of 100% ownership of Mobile Telecom-Service LLP by Power International Holding.
Participants
| Name | Role | Type | Description |
|---|---|---|---|
| Power International Holding (PIH) | Acquirer | Company | A Qatari-based conglomerate expanding its telecommunications portfolio through the acquisition of MTS. |
| Mobile Telecom-Service LLP (MTS) | Target Company | Company | A leading telecom provider in Kazakhstan known for its 5G services, acquired by PIH. |
| Kazakhtelecom JSC | Vendor | Company | Former owner of MTS, a telecom company in Kazakhstan. |
| Citi | Financing Coordinator | Company | Acted as a lead coordinator in financing the acquisition, showcasing its expertise in emerging financial markets. |
| QNB Group | Financing Coordinator | Company | The largest financial institution in the Middle East and Africa, playing a pivotal role in the landmark transaction. |
| Halyk Bank JSCas | Mandated Lead Arranger | Company | One of the financial institutions facilitating the acquisition deal. |
| ICBC Standard Bank Plc | Arranger | Company | Assisted in arranging the financial structure for the acquisition. |
| Bank of Bahrain and Kuwait B.S.C | Arranger | Company | Participated in arranging financing solutions as part of the syndicate. |
| Commercial Bank International PJSC | Arranger | Company | Part of a broader team involved in arranging the financial deal. |
| Ramez AlKhayyat | President | Person | President of Power International Holding, overseeing the strategic acquisition of MTS. |
| Abdulla Mubarak Al-Khalifa | QNB Group CEO | Person | Chief Executive Officer of QNB, expressing his commitment to the acquisition. |