Colt pays $1.8bn for Lumen businesses
November 3, 2022
Lumen Technologies and Colt Technology Services (Colt), a digital infrastructure company, have entered into an exclusive arrangement for the proposed sale of Lumen’s Europe, Middle East and Africa (EMEA) business to Colt for $1.8 billion (€1.8bn).
The envisaged transaction is subject to customary conditions and would involve the divestiture by Lumen of its EMEA business, including its terrestrial and subsea networks, data centres and network equipment in the region to London-headquartered Colt.
“We are continuing to execute on portfolio optimisation at Lumen, creating additional value for our shareholders by monetising non-strategic assets at accretive multiples,” said Lumen President and CEO Jeff Storey. “This transaction would enhance our focus so we can invest more efficiently in our most strategic opportunities – our key Enterprise and Quantum Fiber initiatives – and partner with regional leaders like Colt in Europe and Cirion in Latin America to continue serving our multinational enterprise customers.”
“We are continuing to execute on portfolio optimization at Lumen, creating additional value for our shareholders by monetising non-strategic assets at accretive multiples,” said Lumen President and CEO Jeff Storey. “This transaction would enhance our focus so we can invest more efficiently in our most strategic opportunities – our key Enterprise and Quantum Fiber initiatives – and partner with regional leaders like Colt in Europe and Cirion in Latin America to continue serving our multinational enterprise customers.”
“This transaction would mark the next chapter in Colt’s exciting story of global growth and world-class innovation,” said Keri Gilder, CEO, Colt Technology Services. “We’re deeply committed to building extraordinary connections for our people, customers and partners across our digital infrastructure. This acquisition would strengthen and extend these connections across existing and new geographies, helping us to accelerate growth and bring the power of the digital universe closer to our customers.”
“Lumen has a strong interest in Colt’s success, and we expect to remain a close business partner and key customer,” continued Storey. “Colt’s strong reputation and customer focus make them the ideal partner to serve the needs of our customers, and we expect to remain Colt’s partner of choice for their customers’ needs in North America.”
“Colt and Lumen share values, and a drive to deliver outstanding customer experience,” added Gilder. “This combination is powered by amazing people and incredible infrastructure and is inspired by technology’s ability to change the way we live and work.”
Lumen and Colt envisage the transaction could close on late 2023