Kiev, Ukraine, and New York, October 27th ( GLOBE NEWSWIRE ) – Kyivstar Group Ltd. (Nasdaq ticker: KYIV; KYIVW, hereinafter referred to as “Kyivstar”) announced today the acquisition of GigaCloud. GigaCloud is one of the leading cloud infrastructure providers in Ukraine, and the transaction is valued at up to $50 million.

This investment expands the enterprise technology products of Kyivstar by integrating connection services, cloud infrastructure, and cybersecurity services, with the aim of helping enterprises and public institutions accelerate their digital transformation. GigaCloud will bring a strong base of corporate customers, expertise in cloud technology, as well as infrastructure covering Ukraine and Poland. The transaction will also enhance Kyivstar's capabilities in sovereign cloud infrastructure and lay the foundation for the future development of AI services tailored to the needs of Ukrainian enterprises and public institutions.

GigaCloud was established in 2016 and serves over 1,800 corporate clients. According to unaudited financial records, the company's revenue in 2025 was approximately 14 million US dollars, with earnings before interest, taxes, depreciation, and amortization (EBITDA) amounting to around 4.7 million US dollars, and a profit margin of about 34%. The company expects that this transaction will immediately enhance Kyivstar's profitability and cash flow. The transaction valuation reflects GigaCloud's growth prospects, strategic cloud capabilities, market leadership, and anticipated synergies. In addition, about 5 million US dollars of the total consideration is tied to future performance and capital investment milestones, to ensure that the acquisition price aligns with long-term value creation.

The transaction includes an acquisition price of $41 million, up to $4 million in non-adjustable deferred debt, approximately $3 million in performance-related consideration, and up to $2 million in capital expenditure reimbursement, subject to the terms of the agreement. The completion of the transaction still requires fulfillment of customary closing conditions.

President Oleksandr Komarov stated: " GigaCloud has brought mature cloud services, professional cloud engineering capabilities, R&D capabilities, and an experienced team to Kyivstar. By combining these capabilities with our connectivity services, customer coverage, and investment capabilities, we can help more enterprises modernize their operations and build larger enterprise technology businesses. This acquisition advances our digital strategy and also supports Ukraine's long-term infrastructure needs."

After the transaction is completed, GigaCloud is expected to operate as an independent business unit under Kyivstar Group, retaining its brand and management team. Its founder is anticipated to continue leading the business. The transaction will not result in any changes to existing customer contracts, service levels, or business terms.

GigaCloud, Chief Executive Officer and Co-Founder, stated: "We established GigaCloud relying on the trust of our customers and the professional capabilities of our team. By partnering with Kyivstar, we will be able to accelerate infrastructure investments, expand market coverage, and continue to provide the high-quality services that our customers expect." GigaCloud, Co-Founder Anton Khvastunov, added: "As the demand for sovereign cloud solutions continues to grow, this partnership will enhance our ability to expand secure cloud services and contribute to Ukraine's digital development."

This acquisition further reflects Kyivstar's commitment to expanding its digital services portfolio, investing in key technical infrastructure, and supporting the long-term development of Ukraine's digital economy.

Regarding Kyivstar Group Ltd.

Kyivstar Group Ltd. ("Kyivstar") is a holding company listed on NASDAQ that operates Ukraine's leading digital operator, JSC Kyivstar, and it is also the first Ukrainian company to be listed on a U.S. stock exchange.

Kyivstar's subsidiaries provide a wide range of connectivity and digital services, including mobile and fixed-line voice and data, ride-hailing, electronic healthcare, digital television, as well as enterprise solutions in areas such as big data, cloud, and network security.

For more information, please visit: https :// investors.kyivstar.ua.

Nasdaq codes: KYIV; KYIVW

About JSC Kyivstar

As of June 30, 2026, JSC Kyivstar is a leading digital operator in Ukraine, serving over 21.8 million mobile customers and more than 1.3 million home broadband fixed-line customers. The company provides services through various mobile and fixed technologies such as 4G, big data, cloud solutions, network security services, and digital television.

JSC Kyivstar is wholly owned by Kyivstar Group Ltd (Nasdaq ticker: KYIV; KYIVW), and its shares are traded on NASDAQ.

As one of Ukraine's largest private investors, Kyivstar continues to contribute to the country's resilience and recovery through sustained investment in digital infrastructure and social impact projects. Since 2022, the company has invested over 5.6 billion Ukrainian hryvnia (approximately 125 million US dollars) to support the Ukrainian armed forces, national recovery efforts, and its users, and has been recognized as one of the top three corporate social responsibility companies in the country. For more information: pr @ kyivstar.net, www.kyivstar.ua.

About GigaCloud

GigaCloud is a leading enterprise in the Ukrainian cloud market.

Since 2016, GigaCloud has supported over 1,800 companies in their digital transformation through cloud technology. The company serves large enterprises and is also an important partner for public sectors in implementing digital transformation initiatives driven by cloud solutions.

GigaCloud utilizes advanced technology to build secure, resilient, and highly available cloud infrastructure.

Disclaimer

This press release contains “forward-looking statements” as defined by Section 27A of the Securities Act of 1933 (as amended) and Section 21E of the Securities Exchange Act of 1934 (as amended). These forward-looking statements include, but are not limited to, those related to Kyivstar’s strategy to advance its digital evolution through the acquisition of GigaCloud. There are numerous risks and uncertainties that could cause actual results and performance to differ significantly from those expressed in these statements. These include risks associated with the acquisition of GigaCloud and its integration into Kyivstar, as well as other risks discussed in the “Risk Factors” section of Kyivstar Group’s annual report 20-F filed with the U.S. Securities and Exchange Commission (SEC) on March 16, 2026, and any subsequent documents submitted to the SEC by Kyivstar Group. The forward-looking statements contained in this document are only valid as of the date of issuance of this press release. Kyivstar Group assumes no obligation to update or revise these statements, unless required by applicable law.

In addition, this press release also contains certain financial information and data derived from preliminary, unaudited management accounts (GigaCloud). Regular financial closing, review, and audit procedures are still required to be completed. This information is for reference only and should not be considered a complete financial statement, nor should it be relied upon as necessarily reflecting past or future performance.

Contact Information

Kyivstar Group Ltd