Subex Azure to pay Rs 730cr for Syndesis

Subex Azure, a leading vendor of revenue maximisation solutions for telecom operators, today announced it has entered into a conditional contract to acquire Syndesis, a global provider of telecom OSS (Operations Support Software) solutions, in an all cash deal. The deal values Syndesis at $164.5 million (around Rs 730 crore) based on trailing twelve months (TTM) revenue of $45 million.

If completed, this acquisition will be a milestone in Subex Azure's drive to become the leading global vendor of telecom OSS solutions. Following the close of the transaction, expected on or before March 31, 2007, Syndesis will become a part of Subex Azure. The expanded Subex Azure will reorganise itself into three distinct Strategic Business Units (SBUs) -  Revenue Maximisation 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 centers, each focused on delivering on its strategic plan and each leveraging its independent resources of account managers, domain experts and support specialists for superior product delivery and customer satisfaction.

"Subex Azure' success of the last few years, as we grew to be one of the leaders in the revenue maximisation solution segment, is driven by our strategy to offer a portfolio of software solutions that helps telecom operators gain competitive advantage," said Subash Menon, chairman, managing director & CEO, Subex Azure. "Subex Azure has identified a compelling opportunity to replicate its current success by extending its offering to the Fulfillment and Assurance solution segment through the acquisition of Syndesis, a leading vendor in this segment. We expect this major acquisition to add significant value for our shareholders."