Indian firm forges £78m alliance with Azure
A new world force in telecoms revenue assurance is being created with the merger of public Indian company Subex Systems with the privately-owned Azure Solutions, which has its Research & Development centre in Ipswich.A new world force in telecoms revenue assurance is being created with the merger of public Indian company Subex Systems with the privately-owned Azure Solutions, which has its Research & Development centre in Ipswich.
The deal is being valued at £78.65m and the new venture will be known as Subex Azure.
No changes are expected to the Ipswich operation, although the global headquarters will be Bangalore.
Azure was spun out of BT and nursed in the Brightstar incubator, which developed its own funding model in the form of New Venture Partners. NVP remains an Azure backer.
The company has become world leader in telecoms revenue-assurance while Subex is a public telecom software product company that partners with telcos to maximise revenue through its solutions.
It has a presence across North America, Europe and Asia and turned over £22.6m last year.
Subex now has the largest installed base of fraud management systems in the world.
It went public in 1999 and its shares are listed in India, on the Mumbai, Bangalore and National Stock Exchange and its GDRs are listed on the Luxembourg Stock Exchange.
Both companies have had successful acquisitions. Subex acquired the fraud management assets and technology of Mantas in March 2006, Light-bridge in August 2004 and Alcatel in July 2004.
Azure acquired US cost and revenue-assurance company, Connexn Technologies, and UK telecoms software company Anite Calculus in November 2004.
Subex Azure will count among its customers 23 of the world’s 40 largest operators and boast over 150 customer installations in 60 countries.
Tier-one customers incl-ude BT, Telenor, Cable & Wireless, Vodafone, Orange, O2, Telia-Sonera, Rogers Wireless, T-Mobile USA, Verizon, Bharti Televentures and AT&T.
John Cronin, president and CEO of Azure Solutions, said: “The revenue-assurance and fraud management markets continue to grow. The merger will enable us to offer a world-class product portfolio to operators worldwide.
“The new company will be number one in fraud management and revenue assurance, and number two in interconnect and interparty billing.”