Uzbekistan expects to raise $300 million from Mobiuz sale

Uzbekistan is aiming to earn $300 million from the sale of Mobiuz, the country’s fourth-largest mobile operator, according to Bloomberg, citing two sources familiar with the matter. The government is hoping to attract investor interest from Qatar, Saudi Arabia, Azerbaijan, and Europe.

The sale concerns Universal Mobile Systems (Mobiuz), and the valuation may include a premium, as the government could offer support to the buyer in the event of a potential merger with other market players.

Preliminary interest has reportedly been expressed by investors from Qatar, Saudi Arabia, Azerbaijan, and Europe.

A representative from the State Assets Management Agency declined to comment.

President Shavkat Mirziyoyev previously announced a large-scale privatization program expected to generate at least 10 trillion UZS (approximately $786 million) in 2025 alone. As part of the campaign, the government plans to sell stakes in 29 major enterprises by the end of 2026, including companies in the telecommunications and energy sectors, aiming to reduce the state's share in the economy and attract foreign investment.

The tender to sell 100% of Mobiuz was launched in June, with the deadline for submitting official expressions of interest set for 1 August. Rothschild & Co. is acting as the lead strategic and financial advisor for the transaction.

According to Fitch Solutions’ BMI unit, Uzbekistan had 35.6 million mobile subscribers by the end of 2024, with Mobiuz accounting for 20.9% of the market. The company’s main competitors are the state-owned Uztelecom, Coscom (Ucell), and Unitel (Beeline), which is owned by Dubai-registered Veon Ltd.

Data from the Agency for State Asset Management shows that Mobiuz generated $164 million in revenue and posted $41 million in EBITDA (earnings before interest, taxes, depreciation, and amortization) in 2024.

Bloomberg notes that Veon declined to comment on potential participation in the tender but stated that the company “regularly reviews both organic and inorganic growth opportunities” and considers Uzbekistan a “key market where it is executing an ambitious growth strategy and expanding its digital portfolio.”

Universal Mobile Systems was established in 2014 as a joint venture between Russia’s MTS (50.01%) and the Center for Radio Communication, Broadcasting, and Television (49.99%), based on infrastructure formerly owned by Uzdonrobita, a now-defunct MTS subsidiary whose license was revoked in 2012.

In August 2016, MTS sold its stake to the Center, and by November 2018, the operator became fully owned by the state-backed Digital Trust Fund for the Support and Development of the Digital Economy. In December 2019, UMS was rebranded as Mobiuz.

Plans to privatize Mobiuz were first reported in 2020, with an initial target to complete the process by April 2023. The goal was reaffirmed in a presidential decree issued on 21 April 2025.

Separately, in August last year, businessman Farhod Mamatjanov informed the president of plans to launch a new mobile operator based on Perfectum. Talks are ongoing with Vodafone, and the initiative includes plans to launch a 5G Standalone network. The investment volume is estimated at €250 million, with the rollout initially expected in early 2025.