Astrakhan Mobile (merged with Mobile Telesystems MTS)

Active

In January 1995 Astrakhan Mobile obtained a 10 year license to build and operate an AMPS cellular network in Astrakhan city and the rest of the Astrakhan Region. The region had a population of one million. Astrakhan Mobile started service in the area in September 1995. By mid 2004 the company had some 5,000 subscribers. Astrakhan Mobile was established in February 1995 as a joint venture between the regional telecommunications operator Svyazinform Astrakhan (50%) and Vostok-Mobile (Netherlands), a unit of Global TeleSystems Group Inc.(50%). In January 2001 Vostok Mobile was acquired by MCT Corp. In August 2003 Mobile TeleSystems (MTS) acquired 50% of Astrakhan Mobile from the US MCT Corp. In August 2004 MTS became the sole owner of Astrakhan Mobile by acquiring the remaining 50% from the Southern Telecommunications Company (UTK) for $1.1 million. The AMPS network consisted of 5 stations. The project required investment totaling some $10 million by 1997. The Russian partners received funding from Volga-Caspian Bank, the largest commercial bank in the region. Astrakhan Mobile also held a GSM 1800 license for the Astrakhan region.