Interout

Company Info

For 2010 "Interut" is an owner/operator of modern network of a voice communication and data transmission in Europe including more than 72,000 kilometers of a fiber optic cable, 8 centers of processing and data storage, 32 data centers and communication with 150 partner data centers across the whole Europe.

The complex network of the next generation "Interut" services the international enterprises of a broad spectrum of the industries, including aerospace, automotive industry, the financial sphere, pharmaceutical industry and retail and also all large European operators and large telecom operators of North America, Southeast Asia, the government, the universities and research establishments. These organizations consider "Interut" the ideal partner for placement of content providing wholesale services of bandwidth, transit and corporate communication or creating new services. Performing activity in all continental Europe, in North America and Dubai, "Interut" also owns and operates networks with dense arrangement of nodes in all main European business centers. Providing services and support in 15 European languages, "Interut" is a key component of the European network of rendering digital services. The network is reliable, provided with the stock of development, largest in Europe, and is the leader in deployment of the advanced network solutions from data transmission on optical fiber to "cloud" technologies.

The Interut company advances the concept of unity of information and communication technologies. Uniform communication provides connection with all corporate segments: employees, offices and data centers. The demarcation point of responsibility is uniform for all services, irrespective of technologies of access, in any place. All processes are automated at an order stage. Uniform communications allow to provide global transfer of any kind of traffic (data, a voice or video), is integrated with any technology of access — the mobile or stationary terminal. Uniform calculations give the chance to depart from traditional models of a hosting and to be independent of specialized a hosting centers.

Performance Indicators

2010

The trend of revenue growth of the company clearly demonstrates efficiency of the choice of the development strategy of the company. The representation of "Interut" in Russia and the CIS countries was open in the third quarter 2010. In 2010 revenue in the countries of Central and Eastern Europe of 16,480,000 euros. Revenue in Russia and the CIS countries — 1,692,177 euros. Thus, revenue share across Russia and the CIS countries makes 9 percent. In 2011 it is going to increase this indicator twice. As for the profit of the company in 2010 on a global scale, it made 59 million euros. The size of revenue was 295 million euros that is 25 million more, than in 2009. Income is brought by both corporate clients, and service providers.

History

2018: GTT Communications buys Interoute for 1.9 billion euros

In February, 2018 the American telecommunication company GTT Communications announced acquisition of Interoute for 1.9 billion euros. As a result of the transaction the buyer will receive control over one of the independent cloud platforms, largest in Europe, constructed on optical fiber.

Acquisition will add GTT about 72 thousand kilometers of the fiber-optical route covering 29 countries and also 51 platforms for provision of services of a collocation, 15 physical and 17 virtual data centers thanks to what the company will expand possibilities of cloud storage and data exchange in the European region.

Office of GTT Communications company

According to the Bloomberg agency with reference to unnamed insiders, in October, 2017 Interoute estimated at 1.65 billion euros. The company could rise in price thanks to demand for the increased capacity of fiber-optical networks how people even more often watch sports broadcastings and entertaining rollers on the Internet on screens of the phones. The forthcoming transition of cellular communication to fifth generation (5G) will make a scale-up problem of web traffic of even more critical for fiber optic lines, notes the edition.

This merge creates the pushing market leader having the big scale of business, unique network assets and the excellent product opportunities necessary for satisfaction of the growing demand of our clients for the distributed cloud networks in Europe, the USA and worldwide, – the president and the CEO of GTT Rick Calder said.

The head of Interoute Gareth Williams sees an opportunity to create "a powerful portfolio of high-speed connections with a low delay both the innovation cloud and boundary infrastructure services" in this transaction.

GTT will pay Interoute purchase with own means, i.e. without providing the stocks. For the transaction the company attracted debt financing, including from the largest institutional investors of The Spruce House Partnership and Acacia Partners which provided about $250 million. It is going to close the transaction within three-six months, i.e. no later than the end of August, 2018.

After GTT announced merger of Interoute, its actions rose in price almost for 9% and reached $52.25 that became record value for the company. In 2017 the quotations of GTT jumped by 63%. By the end of February, 2018 market capitalization of the American company makes about $2.09 billion^[1]

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