Liberalisation of telecommunications markets has encouraged new entrants and in turn stimulated merger and acquisition activity. Economic forces drive investment and political forces increasingly permit foreign investment. But taking a share of a large telecommunication operator is a massive undertaking and requires thorough assessment to arrive at a valuation.
Challenge:
A new, non-telco entrant has successful purchased 51% equity of a fixed and a mobile network operator. Looking for skills, experience and expertise with rich telco background to provide the day-to-day operation of the acquired companies for two years and provide strategic options to transform the company's performance from bankruptcy to profitability.
Solution:
BT Telconsult seconded two Chief Executive Officers and consultants from BT to these two companies for two years. Our interim managers took over day-to-day operation by deployment of new processes, organisational change, audit policy, financial control, network and improvement of the IT design.
Benefit:
BT's credibility helped our client to bid for a 51% stake in two separate network operators. A competent team of BT consultants and C-level managers helped run the businesses from bankruptcy to profitability. BT Telconsult was able to assist the down-sizing exercise from around 10,500 to about 3,500 employees without service degradation. With international credibility and experience, BT consultants were able to negotiate supplier agreements with other operators with better terms and conditions.
