Uzbekistan is aiming to raise $300 million from the sale of a leading mobile operator, seeking to draw interest from Middle Eastern and European investors, according to two people familiar with the details of the plans.
Universal Mobile Systems LLC, known as Mobiuz, is the nation’s fourth-biggest operator and its valuation may include a premium as the state would support a buyer merging it with other local providers, said the people, who declined to be identified because the information isn’t public. Potential investors from Qatar, Saudi Arabia, Azerbaijan and Europe have expressed preliminary interest, they said.
A representative for the State Assets Management Agency declined to comment.
Uzbek President Shavkat Mirziyoyev has launched a sweeping privatization drive that aims to raise at least 10 trillion soums ($786 million) this year alone. Through next year, the Central Asian nation intends to divest holdings in 29 major companies, ranging from telecoms to energy, as part of efforts to reduce state ownership and attract foreign investment.
The tender to sell 100% in Mobiuz was announced in June, with an Aug. 1 deadline for formal letters of expression of interest to be submitted. Rothschild & Co. was engaged as the lead strategic and financial consultant for the transaction.
Uzbekistan had 35.6 million subscribers in the mobile market at the end of last year, with Mobiuz taking an overall market share of 20.9%, according to BMI, a Fitch Solutions unit. Its biggest competitors are state-backed Uztelecom JSC and Coscom LLC, as well as Unitel LLC, owned by Dubai-based Veon Ltd.
Mobiuz posted revenue of $164 million and earnings before interest, taxes, depreciation and amortization of $41 million in 2024, according to the State Assets Management Agency.
Veon’s press service declined to comment on whether it planned to participate in the Mobiuz tender. Still, the company said that it “regularly reviews organic and inorganic growth opportunities” and that Uzbekistan remains a key market where it’s “pursuing an ambitious growth strategy and expanding our digital portfolio.”
