Kyivstar Group, the Nasdaq-listed Ukrainian digital operator controlled by VEON, has agreed to acquire GigaCloud, one of Ukraine's largest cloud infrastructure providers, in a transaction valued at up to $50 million. The company announced the agreement on October 27, 2026, in a press release filed with the US Securities and Exchange Commission.
The $50 million figure is a maximum. It is made up of a $41 million acquisition price, up to $4 million of deferred debt that will not be adjusted, about $3 million of consideration tied to performance and up to $2 million to reimburse capital spending. Completion still depends on customary closing conditions. The release did not say what percentage of GigaCloud Kyivstar is buying.
After closing, GigaCloud will run as a separate business unit inside Kyivstar under its own brand. Its management team stays in place and its founders are expected to keep leading the business. Kyivstar said it does not plan to change existing customer contracts, service levels or commercial terms.
What GigaCloud built
GigaCloud has been operating since 2016. According to the release, it serves more than 1,800 enterprise customers and runs infrastructure in Ukraine and Poland. A September 2025 report by the Ukrainian tech outlet DOU put its customer count at more than 1,500 at that time, including small and medium-sized businesses and public-sector bodies, and said it used five data centres in Ukraine and elsewhere in Europe.
In July 2026 the company launched what it calls a sovereign cloud, designed to meet Ukrainian state rules on storing, processing and transferring data inside the country, Interfax-Ukraine reported. Chief executive Nazarii Kurochko said at the time that the service gives clients control over their data, with support in Ukrainian and billing through a Ukrainian legal entity. The company pitched it at government agencies, critical infrastructure, banks, defence, healthcare, energy and businesses that take part in public procurement.
Based on unaudited management accounts, GigaCloud generated about $14 million in revenue and $4.7 million in EBITDA in 2025, a margin of roughly 34%, Kyivstar said. Interfax-Ukraine, citing the YouControl company database, reported 2025 revenue of 561.44 million hryvnias, up 37.1%, and net profit of 130.26 million hryvnias. DOU had reported 2024 revenue of 410 million hryvnias.
“By combining these capabilities with our connectivity, customer reach and investment capacity, we can help more businesses modernize their operations and build a larger enterprise technology business.”
The founders and the ownership
GigaCloud did not take outside venture funding that any of the sources reported. According to Interfax-Ukraine, which cited YouControl, the operating company is held through three holding companies registered in Malta and Cyprus. The named beneficial owners are Kurochko, with 44.93%, and Oleh Polishchuk, with 31.15%.
Kurochko, who is chief executive and a co-founder, said the business had been built on customer trust and its team's expertise. He said that with Kyivstar behind it, GigaCloud would be able to invest faster in its infrastructure and reach more of the market.
A deal more than a year in the making
Kyivstar's interest in GigaCloud was public well before the October announcement. In September 2025 the operator asked Ukraine's Antimonopoly Committee for permission to buy a stake in the company. DOU reported then that no agreement had yet been signed, and cited another outlet, Dev.ua, as saying the purchase would cover 80% of the shares. In July 2026 Interfax-Ukraine reported that the committee was due to review Kyivstar's application to take control of GigaCloud, with a shareholder agreement between Kyivstar and the owners to accompany the deal.
Kyivstar serves about 23 million mobile subscribers and 1.1 million fixed internet users, according to DOU. It listed on Nasdaq in August 2025 through a merger with the blank-cheque company Cohen Circle Acquisition Corp., after which VEON kept 89.6% of the shares. Its other holdings include the medical platform Helsi and the ride-hailing service Uklon.
Why Kyivstar is buying
Kyivstar already sells cloud services. It launched Kyivstar Cloud in June 2025, and cloud revenue booked by its Kyivstar.Tech subsidiary rose to 192 million hryvnias in the first quarter of 2026 from 105 million hryvnias a year earlier, Interfax-Ukraine reported. President Oleksandr Komarov said in May that the company saw cloud as a main growth area and was looking at acquisitions as well as organic growth, and that its cloud business mostly resold Microsoft services and, to a smaller extent, Amazon's.
Buying GigaCloud gives Kyivstar its own Ukrainian cloud engineering team, research and development capacity and an established customer base. The company said the deal would strengthen sovereign cloud capabilities in Ukraine and form a base for AI services for Ukrainian businesses and public institutions. Kyivstar expects the acquisition to add to its earnings and cash flow from the start.
