Telecoms M&A Activity in Asia

One of the most influential M&A deals in 2010 was India´s Bharti Airtel takeover of Zain’s African assets for US$ 10.7 billion.

Bharti Airtel is the leading telecommunications provider in Asia and is even set to be the world’s fifth largest wireless company with operations extending across eighteen countries. With this merger, Bharti entered the African market. Bharti, combined with Zain Africa’s customer numbers, will have a customer base of around 179 million customers; with more than 1.8 billion people across Asia and Africa.

Nowadays, private equity investors are also starting to cash in when it comes to business telecoms. A reason for investments is that telecoms can easily spread out into other related sectors such as data centres and network services that offer cloud computing, managed hosting, connectivity, and other hosted applications. These services offer high revenues, and are relatively ordering generic synthroid australia easy to consolidate into an existing telecom system with its billing systems and back-office infrastructure already in place.

Experts envisage continued business deals with key players in the market buying out companies like Global Crossing, an IP solutions provider that enables customers to combine data, voice, and multimedia applications on one single platform.

Other companies of interest are IP solution provider Spanlink Communications, which insist on the importance of revamping networks and even data warehousing for businesses, and

Cloud Networx, which focuses on media gateways, Internet access routers, DSL and Ethernet routers, and remote access.

For now, one can safely assume that M&A and investments in the telecoms industry will continue to thrive, especially since there is increased activity from corporations and private equity firms, and more and more investors realising the limitless potential of the telecommunications market.