Digicel expands business solutions arm with acquisition
Denis O'Brien's Digicel has agreed a deal to buy IDOM Technologies, a business-focused communications provider that operates in French Overseas Territories in the West Indies and Indian Ocean.
Digicel said IDOM Technologies provides services spanning connectivity, voice and security services to more than 800 business and public sector customers in insurance, commerce, financial services and the health and automotive sectors.
Financial terms were not disclosed.
As part of the deal, Digicel will acquire IDOM's 265km of fibre optic network, which will bring Digicel Group's total fibre footprint to 6,000km.
"Business solutions is one of the fastest growth areas across all the company's market. The acquisition represents an excellent strategic fit for Digicel," said Digicel Group CEO Colm Delves.
Mr Delves said that Digicel will bring its full portfolio of products and services to the markets where IDOM Technologies operates.
Digicel is active in 32 markets across the Caribbean and Pacific Ocean and is increasingly moving from its original mobile phone services to offer a wider range of communication services to consumers and business and enterprise customers.
IDOM Technologies operates in the French off-shore territories of Martinique, Guadeloupe, French Guiana and La Reunion.
The IDOM deal is Digicel's first acquisition since it launched a group-wide rationalisation programme dubbed "Digicel 2030" earlier this year. That programme will see around a quarter of Digicel's 6,000 worldwide jobs cut over 18 months as back-office functions are centralised in a small number of regional hubs rather than organised in each territory where the business operates.