Redknee says it has closed its €40 million ($52.2 million) acquisition of Nokia Siemens Networks’ BSS business unit.
The acquisition – announced in December – expands Redknee’s market share to include more than 200 customers across 90 countries, and adds long-standing relationships with multiple Tier-1 operators across the globe, the company said in a statement.
Redknee also said the deal expands its end-to-end real-time BSS portfolio, “allowing Redknee to provide the most compelling solutions, either on-premise, cloud-based or as Software-as-a-Service (SaaS) to over 2 billion subscribers across the globe.”
The Redknee-NSN deal has been generally regarded as a good move for Redknee. When the deal was announced, Peter Dykes of Informa Telecoms and Media said that while Redknee “still lacks expertise and products in areas such as analytics and OSS/BSS provisioning across multi-play networks”, the deal “should help the company to fund expansion into those areas of in which its portfolio is currently lacking.”
Whilst the deal was being finalized, Redknee announced stellar financial results for FY 2012 in January, turning a net loss of $1.6 million in 2011 into a net income of $5.3 million (for the year ending in September 2012, before the NSN deal was announced).
Meanwhile, the day after the deal was finalized, Redknee announced it had extended its credit agreement with Wells Fargo Capital Finance from $20 million to $50 million. The company said it would use its expanded credit for, among other things, “potential acquisitions”.