“COMSTAR – United TeleSystems” (“Comstar UTS”, LSE: CMST), the leading provider of integrated telecommunication services in Russia and the CIS, today announced that its Ukrainian subsidiary, “Technological Systems”, has received a license for provision of WiMAX-based services in the range of 5.4 – 5.7 GHz  through a regional tender in Kiev, Kiev region, Odessa, Odessa region, as well as in Lvov and Lvov region. The total cost of this license was US$ 0.8 million.

The market for broadband services in Ukraine is currently estimated to grow at an annual growth rate of 20-30%. “Technological Systems” will use this license to rollout a full-scale wireless network in the largest business centres of the country, where the development of broadband services is slowed down by the lack of fixed line infrastructure.

“We are very enthusiastic about the dynamic growth of broadband services in Ukraine. We believe that Kiev and other regions in Ukraine, which are covered by our license, have significant development potential from the rollout of WiMax-based services”, – commented Erik Franke, CEO of “Comstar – UTS”. “Synergies in Comstar - UTS group and our practical experience in using WiMAX-based technologies in Russia and Armenia will provide us with a substantial advantage over our competitors in gaining a sizable market share of corporate users in Ukraine”.