Ukrainian telecoms company Kyivstar is pushing ahead with its planned listing on the NASDAQ stock exchange.
Parent company Veon confirmed the plans this week, revealing that Kyivstar has been assigned a pro-forma valuation of $2.21 billion ahead of the initial public offering (IPO).
Veon said that it plans to list Kyivstar, Ukraine's biggest telco, on Nasdaq after reaching an agreement to combine with special purpose acquisition company (SPAC) Cohen Circle Acquisition Corp. SPACs are companies set up for the purpose of acquiring private businesses and taking them public.
The agreement paves the way for Kyivstar to become the first Ukrainian firm to be listed in the US, and come at a time when political tensions between the two countries are running high.
A month ago, US President Donald Trump and his Ukrainianian counterpart Volodymyr Zelenskyy clashed in the White House over Russia's invasion of Ukraine, which led to the delay in the signing of a minerals deal.
In January, Veon revealed that it signed a letter of intent (LOI) with Cohen Circle to combine their businesses and indirectly list Kyivstar on Nasdaq. Veon itself also trades on NASDAQ after delisting from Amsterdam in 2024.
Veon said it will own a minimum of 80 percent of the issued and outstanding equity of Kyivstar Group immediately following the closing of the business combination, expected to occur in Q3 2025. This is subject to the approval of Cohen Circle’s shareholders and other customary closing conditions.
“Kyivstar’s listing on Nasdaq will be more than a financial milestone—it will mark a defining moment for Ukraine’s economic future. As one of Ukraine’s largest private sector investors, Veon is proud to pioneer this historic step, offering US and global investors a unique opportunity to support and participate in Ukraine’s economic growth and resilience,” said Augie K Fabela II, chairman and founder of Veon.
“We believe that Kyivstar’s strong financial profile, visionary strategy, and robust governance structure, developed over many years as a Veon Group company, will be appealing to international investors,” added Kaan Terzioglu, Veon Group CEO.
According to Veon, the opportunity to become listed in the US would enable the company to attract international investors to support the company's growth and push Ukraine's economy.
Kyivstar is Ukraine's largest mobile network operator, serving close to 24 million customers.
Last year, Veon increased its investment in the carrier to $1 billion for the period between 2023 and 2027.
Since Russia invaded Ukraine in February 2022, Kyivstar has built 1,895 new LTE base stations and upgraded about 13,200 existing base stations to 4G.
The telco has added more than 4,100 residential areas to 4G coverage, noting that 95 percent of the population of territories controlled by Ukraine have access to 4G services on Kyivstar's network.
By the end of 2026, Kyivstar wants to cover 98 percent of the population with 4G coverage.
Shah Capital, an investor in Veon, urged the company last year to list Kyivstar on Nasdaq.
