AVELLUM advised NJJ on obtaining merger control clearance from the Antimonopoly Committee of Ukraine to acquire Datagroup-Volia and Lifecell.
Once the transaction has closed, NJJ intends to merge Datagroup-Volia with Lifecell, creating a national telecom champion with the highest growth profile among peers and the “operator of choice” for safe, secure and reliable telecom services in Ukraine.
The combined entity will provide mobile connectivity to nearly 10 million Ukrainians, while its fixed network will cover more than 4 million residences across Ukraine. The merger of Datagroup-Volia and Lifecell will also enable consumers to benefit from a triple play offer, bundling mobile, fixed connectivity, and pay TV, improving quality of service and pricing and furthering the integration of European standards.
Upon completing the transaction in Ukraine, the group plans to launch a significant investment program, with around USD 1.5 billion in investments in networks, licenses, equipment, and the expansion of fixed and mobile infrastructure in the country to accelerate future growth.
Mykhaylo Shelemba, the future CEO of the combined Datagroup-Volia-Lifecell entity, shares his perspective: “The merger of Datagroup-Volia and Lifecell will create a new champion in Ukraine’s telecom industry, combining two stellar assets with vast synergy potential. This integration will benefit consumers with better triple-play offerings and competitive packages. The success of this venture is attributed to our teams’ resilience and the protection of Ukraine’s defenders”.
Mykyta Nota, head of competition practice at AVELLUM, says: “We are thrilled to be entrusted to work on this truly landmark deal, which marks one of the most significant in the past decade. It not only greatly encourages foreign investors but also underscores the resilience and potential of Ukraine’s investment environment, even during the ongoing war.”
About NJJ
NJJ is the personal investment vehicle of Xavier Niel, a recognised entrepreneur and major long-term investor in the telecoms sector across the world.
Xavier Niel is also the owner of Iliad, founded in 2002. Iliad which revolutionised the telecom market in France, ensuring that French consumers enjoy some of the lowest broadband rates in the developed world with its “Freebox”. In 2012, he launched Free Mobile, offering no-strings-attached SIM card services. Iliad is now a leading telecoms provider present in France, Italy and Poland.
Overall, Xavier Niel has telecoms investments in more than 20 countries worldwide, delivering mobile services to over a hundred million subscribers.
About Datagroup-Volia
Datagroup and Volia is the national fixed line leader across key customer segments – B2C, B2B, and wholesale. The Company’s network covers over 4 million Ukrainian households in more than 100 cities, with over 35,000 kilometres of fibre infrastructure making it one of the largest networks in the country. The Company also offers a broad portfolio of value-add services to its clients, including cloud and cybersecurity for B2B customers, and IoT and OTT solutions for retail customers. With more than 2,000 institutional clients, the group is also a key partner of the public sector, collaborating with state bodies and agencies in the fields of finance, defence, and communications.
About Lifecell
Lifecell is the third-largest mobile operator in Ukraine, providing mobile communication and data transmission services powered by high-speed Internet. Known for its robust network and extensive coverage, Lifecell’s infrastructure includes over 13,000 base stations, serving more than 9.8 million subscribers.
AVELLUM’s team was led by partner and head of competition practice Mykyta Nota, with significant support from counsel Anton Arkhypov and associate Veronika Humeniuk.
