Announcement follows the successful application for a business licence via a partnership with Kuwait Telecommunications Company (stc) to enable its operations, and secure debt and equity funding for the expansion. The company will launch its fully digital app-based proposition in the country under the Virgin Mobile brand, becoming the fourth service provider. stc Kuwait will act as a host facilities-based provider with Virgin Mobile Kuwait to provide digital services to customers in the country. All of the new operations’ IT and app technology will be based on Virgin Mobile Middle East and Africa’s digital operator platform. Following other successful launches in the GCC, is part of our ongoing commitment to always provide more choices for consumers as well as to push the boundaries of traditional telco with our digital propositions.
Funding for the expansion into Kuwait has been provided by Wafra International Investment Company, Impulse International for Telecommunications and Virgin Mobile Middle East and Africa. This is the first investment of its kind, established to set up a virtual telecommunications network. The remainder of the funding is supplied as equity funding, with Impulse International leading the equity transaction. Impulse led the equity term sheet of $7m for the Kuwait entity, which is a milestone for the telecom sector in Kuwait, as this is the first MVNO to enter the market. Impulse will be represented on the Board of Directors of the company. This deal will allow Virgin Mobile Kuwait to provide the best technological services in its field, transferring technology and knowledge in the telecom sector while providing a more digital platform which reflects the global trend of service providers, while also providing new job opportunities. Virgin Mobile Middle East and Africa is serving 3 million customers across the region, operating across GCC markets such as Saudi Arabia, Oman and providing advisory services to Emirates Integrated Telecommunications Company (EITC) in the UAE.