Copying and distributing are prohibited without permission of the publisher
Dialog boosts Sri Lanka presence with takeover
15 December 2011
Consolidation in Sri Lanka as Dialog Axiata unit DBN acquires 100% stake in fixed wireless operator Suntel
Read more:
Sri Lanka
Dialog Axiata
Suntel
DBN
Dialog Broadband Networks
Sri Lanka’s Dialog Broadband Networks has entered a share purchase agreement to buy all the shares of fixed wireless operator Suntel. After completion of the transaction, expected to occur during over the next few months, the firms will merge into one entity.
Jerry Huxtable, managing director of Suntel, said: “The Sri Lankan telecom sector after 15 years of robust growth is soliciting consolidation. I believe industry consolidation which crystallises economies of scale and brings together the shared effort and investment capacity of leading industry players is an optimum strategy to deliver enhanced value to consumers and the industry at large.”
DBN, a subsidiary of Dialog Axiata, hopes to build on Suntel’s strong position in Sri Lanka’s fixed telecommunications sector. Suntel is ranked second in the sector in terms of fixed telecommunications business and revenue market share.
DBN chairman Hans Wijayasuriya said: “Suntel is a much admired service provider on Sri Lanka’s telecommunications landscape and will bring significant value in terms of a best in class fixed line operations framework, highly competent human capital and a longstanding customer base earned.” GTB
Further reading from Global Telecoms Business:
Sri Lanka's Dialog to expand network 14 Feb 2011
Telekom Malaysia sells Axiata shares 03 Dec 2010
Interview: Sandip Das of Maxis 06 Oct 2010
Etisalat to invest $163m in Sri Lanka 21 Jul 2010