By Olga Razumovskaya
MOSCOW-- Russia's No. 1 telecoms operator OAO Mobile TeleSystems
(MBT) has transferred its 100% ownership stake in its Ukrainian
subsidiary to Preludium B.V., a wholly owned subsidiary
incorporated in the Netherlands indirectly owned by MTS, the
company said in a statement Friday.
"The asset has been transferred to expand MTS Ukraine's
investment opportunities," Elena Kokhanovskaya, MTS's spokeswoman,
said. She added that the company is "in constant negotiations" over
MTS Ukraine but declined to comment further.
In late October The Wall Street Journal, citing a source
familiar with the matter, reported that MTS was considering the
sale of part of its Ukrainian subsidiary to a foreign investor over
difficulties with obtaining third-generation network licensing due
to political and economic instability.
MTS's subsidiary in Ukraine has since secured a 15-year
nationwide 3G license having purchased it for 2.72 billion hryvnias
($92.2 million).
Due to the volatile economic and political situation in Ukraine,
MTS faced difficulties when trying to participate in the rollout of
the faster 3G network in the country as it faced opposition from
Ukrainian politicians who didn't want Russian companies
participating in the bid to get 3G licenses.
Write to Olga Razumovskaya at olga.razumovskaya@wsj.com
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