Subex Azure announces overseas acquisition

BANGALORE: About 7 months after completing the biggest overseas acquisition in the Indian IT industry, Bangalore-based Subex Azure has announced another one. The company which provides revenue maximization solutions for telecom operators, said that it has entered into a conditional contract to acquire Syndesis Limited, a global provider of telecom OSS (Operations Support Software) solutions, in an all cash deal.

The deal values Toronto-based Syndesis at $164.5 million based on TTM revenue of $ 45 million. Subex had earlier acquired UK-headquartered Azure Solutions Ltd for $140 million in June, 2006.

According to Subex's CMD and CEO Subash Menon, the deal will be funded by the company's ongoing GDR issue of $200 million. ``The process is on currently and should be concluded in a couple of months,'' he said.

Following the close of the transaction, which is expected on or before March 31, 2007, Syndesis will become a part of Subex Azure Limited. Mr Menon said that the expanded Subex Azure will then reorganize itself into three distinct strategic business units (SBUs) ��� Revenue Maximization Solutions SBU, Fulfillment & Assurance Solutions SBU and BT Business SBU.

The current Subex Azure business, excluding business from British Telecom, will form the first SBU, the current Syndesis business will form the second SBU and the current Subex Azure business from British Telecom will form the third SBU. These SBUs will operate as independent revenue centres, each leveraging its independent resources of account managers, domain experts and support specialists for product delivery and customer satisfaction.