Home Telecommunication MTS Ukraine makes rebranding under the Vodafone brand

MTS Ukraine makes rebranding under the Vodafone brand

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Vodafone
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Vodafone has entered into agreement with Russian mobile group MTS to use the Vodafone brand in Ukraine for the first time ever.

MTS will introduce the brand Vodafone in Ukraine through the program of cooperation between the two companies, seeking to develop the mobile data services market of Ukraine, as published by the Financial Times.
Though, as reported by informed sources, the British telecommunications company does not intend to invest funds in the project or redeem shares to get profit. The deal was supposed to be officially announced on Friday morning.
Earlier this year, MTS Ukraine, the second largest mobile operator in the country, launched the 3G service in Ukraine.
The start of using the brand Vodafone may also assist in developing the company in Ukraine, taking into account that MTS is owned by Russia. Besides, according to another source close to the negotiations, the British telecommunications group can also run M-Pesa in Ukraine, the mobile financial service first launched in Kenya.
The agreement was concluded in the framework of extending existing relations between the two companies. MTS has a partner agreement with Vodafone signed as far back as 2008, which allows both companies to share technological knowledge and jointly to buy equipment.
Vodafone has contracts with other local operators, allowing them to use the company’s brand in their markets. Most recently, the company has signed such a contract with the African telecommunications company Afrimax, authorizing it to use the brand in Uganda. The company has also similar agreements with a number of operators in Central and Eastern Europe.
According to the source aware of the agreement, the company Vodafone anticipated issues associated with using the well-known brand in the war-torn country, and took the agreement as a very executive and balanced decision.

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