UK telecoms group Clearcomm has been acquired by Indian rival STL for £15.5m as global network providers race to roll out 5G and full-fibre broadband.
STL and Clearcomm both offer network integration services, providing wired and wireless infrastructure for telcos, cloud companies and large businesses.
Since its inception in 2009, Birmingham-based Clearcomm has grown to annual revenues of roughly £20m, with an annual growth rate of more than 25 per cent over the past three years.
STL said the acquisition would help fuel its global expansion strategy with increased presence across the UK and Europe.
It comes as the government aims to ramp up the rollout of full-fibre broadband across the UK as a key part of its so-called levelling up agenda.
In April STL inked a deal with BT’s Openreach to deliver millions of kilometres of optical fibre cable as part of its aim to reach 25m homes by the end of 2026.
“STL has a global vision for enabling digital transformation, and has set off on an exciting growth journey,” said Clearcomm managing directors Stuart Evans and Richard Breffitt in a joint statement.
“We, at Clearcomm, are looking forward to adding value with our network integration specialisation and being an integral part of this growth story.”
The deal will be split into two tranches, with STL to acquire 80 per cent of Clearcomm’s share capital immediately at an enterprise value of £15.5m. The remaining 20 per cent shareholding will be acquired in 2023.