Belgium-based telecoms group Proximus has created a new global business, Proximus Global, to combine its three international units – BICS, Telesign, and Route Mobile – under a single brand, and to tap their “huge potential for cross-selling and collaboration”. The idea is to establish a single business under a single brand, more closely associated with its parent’s op-co brand in Belgium, to “connect, engage, and protect customers throughout every step of the digital communications journey”.
In other words, explained a spokesperson, the strategy is to jointly-draw on each unit’s respective expertise, as part of a more ‘joined-up’ and more clearly-branded customer offer. “By ‘every step’ it means leveraging BICS’ global connectivity footprint, Telesign’s expertise in digital identity, and Route Mobile’s expertise in customer engagement channels,” said the spokesperson. He added: “There’s no significant change to how the international unit operates day-to-day but the rebrand is about positioning Proximus’ international offering as a seamless…” etc etc.
Proximus Group subsidiary BICS, also a major supplier of global IoT airtime, acquired Telesign for $230 million in 2017. The group took full ownership of BICS in early 2021. It completed a €643 million deal for a 57.56 percent majority stake in India-based Route Mobile in May last year, bringing its total shares in the firm to 82.7 percent. The new reorganisation (“transaction”) values Proximus Global at around €3.1 billion in equity value; the group’s global activities generated €1.9 billion in revenue in 2023.
The new deal saw 100 percent of BICS shares transferred from Proximus nv/sa to subsidiary business Proximus Opal, which owns Telesign and the majority stake in Route Mobile acquired last year, and Proximus Opal subsequently renamed as Proximus Global. Proximus nv/sa’s shareholding in Proximus Global has increased from 87.3 percent to 91.3 percent; the remaining shares in Proximus Global are owned by Clear Bridge Ventures LLP, the investment vehicle of the Gupta family, the original founders of Route Mobile.
The new setup has no impact on Proximus’ cash and debt position, the company said. The new organisation claims a “single, streamlined operating model and unified global leadership team”, and thereby a “simplification of the organisational structure and governance”. All customers will continue to be serviced without disruption.
The spokesperson went on: “Proximus has been quite upbeat about how these three arms are supporting double-digit international growth. It believes each brings a unique perspective, with its own partnerships, verticals, and geographic presence. The ‘synergies’… creates, in theory, huge potential for cross-selling and collaboration.”
