Telstra’s acquisition of Pacnet has now come to fruition, with the Australian telco today announcing it has completed the purchase of the cloud, managed services and datacentre provider. As reported by Telecoms.com in December, the valuation of the deal came in at $697m.
When initially announced, the deal came with the stipulation of agreement from regulatory bodies, as well as Pacnet financier approval. According to Telstra, all necessary approvals and agreements have now been confirmed, and the firm can now begin the full acquisition of Pacnet.
All that remains, it claims, is full regulatory approval in the United States, which it reckons is expected in due course and will not impact operations or the agreed purchase price.
Speaking on the acquisition, Telstra’s Global Enterprise and Services chief executive Brendon Riley said the integration of Pacnet will see its brand gradually retired, but that the Chinese market remains a big focus for the joint-venture.
“The addition of Pacnet’s staff, intrastructure, technology and expertise will position Telstra as a leading provider of services to multinational and large companies in Asia,” he said. “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 existing joint venture.”
Riley concluded with a nod towards the Pacnet Enabled Network (PEN), an elastic and on-demand network based on SDN architecture, pioneered by Pacnet. PEN was one of the first live SDN-based networks launched globally.
“The acquisition provides us greater specialisation and scale, including the delivery of enhanced services, such as software-defined networking and opens up significant incremental opportunities for our business,” he said.