Telecoms company Veon has announced it will acquire 100 percent of Rubicon Wireless, the mobile network operator trading under the Perfectum brand in Uzbekistan.

The deal will see Veon's Uzbek brand Beeline acquire Perfectum's customer base for a value of $207 million, which includes Perfectum's outstanding financial debt of approximately $93m.

Five carriers currently operate in Uzbekistan. In addition to Beeline and Perfectum, the market is also served by Uztelecom, Mobiuz, and Ucell.

For Veon, the acquisition bolsters its spectrum and network assets to support the development of its 4G LTE and 5G network across the country.

Veon said it expects to increase its spectrum holdings by approximately 50 percent, including Perfectum’s 115MHz across the 850MHz and 3,800MHz bands. Veon will also take over Perfectum's network equipment and infrastructure assets, including a 5G standalone network deployed using Nokia equipment.

At present, Veon has close to 8 million mobile subscribers in the country. Perfectum's customer base was not disclosed, nor is there any definitive figure in the public domain.

“Uzbekistan is one of Veon's core growth markets, and this acquisition reflects our confidence in its digital future,” said Kaan Terzioglu, Group chief executive officer, Veon. “By combining complementary spectrum and network assets, we can deliver better connectivity and expand access to the digital services people and businesses use every day. Our focus is to turn this investment into stronger customer experiences, more efficient network investment and sustainable growth.” 

“This acquisition gives us additional resources to meet our customers’ growing connectivity needs,” added Yevgeniy Nastradin, CEO of Beeline Uzbekistan. “Perfectum’s spectrum complements our existing holdings and will support our plans to strengthen coverage and capacity, introduce 5G services and expand wireless broadband for homes and businesses. Our priority is to integrate these assets effectively and translate them into tangible improvements for our customers.” 

The deal is subject to regulatory approval, with a decision expected by the end of this month, noted Veon.