je.st

Home › colt

Tag: colt

Colt to exit IT service, reduce senior executives

2015-06-30 09:55:00| Telecompaper Headlines

(Telecompaper) Colt has approved a new business plan that will put greater focus on the company's core businesses, namely Network, Voice and Data Centre Services, with a managed exit from IT Services. Cost transformations across the group will also continue to be a key strategic focus, with Colt looking to reduce the number of senior executives in order to simplify and streamline operations. The European carrier has been working on the plan since the beginning of the year; it has now been given a provisional approval by its management board. The plan, which is unrelated to the recent buy-out offer by Fidelity, will be put into effect as quickly as possible. The Business Plan is expected bring cash one-off expenses of EUR 45-55 million and a non-cash impairment charge of around EUR 90 million. There will also be an exceptional restructuring cost of EUR 25 million relating to the Core Business. Savings are seen at EUR 25 million per year, reflected in Core Business EBITDA partially this year and fully next year. Trading is still expected in line with expectations for the second quarter; results will be reported before the end of July. Colt is guiding for a free cash flow for its Core Business of EUR 70-80 million for 2015 and of EUR 100-120 million for 2016, including all restructuring exceptionals and cash outflows.

Tags: service senior reduce exit

Colt exits IT services, cuts execs

2015-06-30 02:00:00| Total Telecom industry news

U.K.-based operator says it will retain its focus on cost-cutting; move not related to Fidelity buyout offer.

Tags: services cuts colt exits

Fidelity makes buy-out offer for Colt

2015-06-19 09:04:00| Telecompaper Headlines

(Telecompaper) Colt's largest shareholder Fidelity Investments has made an offer to take the European carrier private. However, Colt's independent shareholders said the bid of 190 pence per share undervalues the group, and a sale to a third party could achieve a higher price. Colt said the directors' assessment was based on its new business plan, which has been provisionally approved by the board and further details of which will be announced soon. While the independent directors, having been so advised by Barclays, consider the financial terms of the offer not fair to the shareholders of Colt, they also recognised that some shareholders may be interested in accepting the bid. Accordingly the board has made no recommendation to shareholders whether or not to accept the offer. Furthermore Fidelity has stated that it will not sell its shares in Colt before the end of 2016, so the immediate offer to cash-out may appeal to some shareholders. As a result Colt's board said it would convene a meeting of shareholders to consider the offer. Fidelity said its offer gives shareholders a premium of 35 percent on the average share price in the past year. In total its offer values Colt at GBP 1.72 billion.

Tags: offer makes fidelity colt