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BT has announced
that it will become Fiat's supplier of global
telecommunications services through a contract worth €450
million over five years. BT will also acquire Atlanet, a
Fiat subsidiary providing domestic telecommunications
services to Fiat and other non-Fiat business customers
across Italy. Under the services agreement, BT will manage
Fiat Group's global telecommunications requirements across
40 countries. This contract will enable Fiat to focus
further on its core activities, while benefiting from BT's
expertise in networked IT services. The acquisition of
Atlanet from Fiat further reinforces BT's position in the
Italian market by contributing new customers and revenues
and a strong existing relationship with Fiat. Atlanet also
provides additional strength in IP services and incremental
network coverage that will further support BT Albacom’s
strong growth momentum.
Atlanet achieved revenues of €155 million during the year to
31 December 2004 and EBITDA of €12 million. The
Turin-headquartered company controls a national network with
24 PoPs (Points of Presence) for voice services and 42 PoPs
for data services, interconnected by a fibre optic backbone
and equipped to offer 11,000 IP access points across the
country. Atlanet also owns MANs (Metropolitan Area Networks)
in Rome, Milan and Turin. The company currently employs
approximately 280 people and at 2004 year end had gross
assets of €133 million. BT will pay cash consideration of
approximately €80 million.
Andy Green, CEO BT Global Services, said: "BT is delighted
to have been selected by such an established and respected
Italian company to be its global provider, and is committed
to developing a long-term partnership with Fiat that
supports its transformation programme. This deal further
demonstrates our continuing success in winning global
contracts with leading multi-national companies across the
world." François Barrault, President BT International, said:
"The services contract with Fiat and the acquisition of
Atlanet validate BT’s unique strategy that combines strong
domestic and global capabilities; further enhancing our
credibility and momentum in Italy and internationally. Less
than a year after the acquisition of BT Albacom, we believe
this transaction will contribute €1 billion of revenue to BT
over five years and demonstrates the quality and commitment
of our Italian operation under the leadership of Corrado
Sciolla." |
