Kcell enters trilateral network sharing agreement

05.05.20 11:49
/KASE, May 5, 2020/ – Kcell (Almaty), whose shares are officially listed on Kazakhstan Stock Exchange (KASE), has informed KASE about the following: quote Kcell Joint Stock Company ("Kcell" or the "Company") (LSE, KASE, AIX: KCEL, KCEL.Y), the leading provider of mobile telecommunications services in Kazakhstan, notifies that its Board of Directors has approved the decision on entering into a trilateral network sharing agreement between Kcell JSC, KaR-Tel LLP and Mobile Telecom-Service LLP ("Parties"). The Agreement provides an opportunity for the Parties to commence joint construction and operation of a mobile broadband network that covers settlements with a population of 250 to 1000 people, national and regional highways and railways. Each Party will independently build and operate the mobile broadband network and will allow the other Parties to use its network infrastructure within their coverage zone on the terms and conditions set forth in the Agreement. The construction volume of the network infrastructure will be distributed between KaR-Tel LLP and Kazakhtelecom Group of companies as follows: 35 percent – KaR-Tel LLP and 65 percent – Kazakhtelecom Group of companies. The Agreement does not provide for the Parties' joint ownership or disposal of the network infrastructure. The Agreement is not intended to limit competition between the Parties in wholesale or retail business and nor does it constitute a market sharing arrangement. Each Party is fully entitled to continue to carry on its wholesale and retail business as it may deem appropriate. unquote [2020-05-05]