16 Apr 2015
Australian telecoms group Telstra will begin to phase out the Pacnet brand after today announcing the completion of its USD697 million takeover of the international submarine cable bandwidth and data centre operator which was first announced in December 2014. As reported by iTnews.com.au, Telstra’s head of global enterprise and services Brendon Riley told investors the telco would now work to integrate Pacnet, meaning the brand would be progressively retired. Pacnet is headquartered in both Singapore and Hong Kong, with around 815 employees across 25 offices in eleven countries. Its 9,620km EAC Pacific cable connects the US to Japan, and its 36,800km EAC-C2C cable has landing points across eight countries in Asia, while Pacnet also boasts 110 points of presence globally. Its takeover by Telstra has now received all regulatory and financier approvals with the exception that integration of US assets must wait for final regulatory approval in that country. Telstra expects the integration of Pacnet to near-double the size of its global enterprise and services division in Asia to become the leader in the regional market. Telstra also says it will continue the development of the Chinese Pacnet Business Solutions joint venture. Riley continued in a statement: ‘The completed acquisition will double Telstra’s customers in Asia, and greatly increase our network reach and data centre capabilities across the region. This includes the addition of the largest privately owned intra-Asia cable network, 29 data centres and the ability to further grow our China operations through the existing joint venture.’ The statement added that completion of the acquisition of the US assets is expected in due course and does not impact operations or the agreed purchase price.