€65m funding boost for Smart Telecom

22 Jun 2007

Ahead of going private on 29 June, Smart telecom can add €90m in total to its value, including €50m from a group of private US and European investors specialising in the telecoms sector.

€15m in preference shares will come from shareholders of Smart YuRoE Broadband Limited (SYB), owners of Smart Telecom.

Following Brendan Murtagh’s decision to merge his interests in the T50 broadband network, a further €25m in assets will be added to the company’s worth.

Smart had previously invested in the T50 fibre ring infrastructure around the M50 motorway in Dublin.

John Riordan, chairman and CEO, SYB, said: “Smart Telecom has been transformed since it was acquired last year.

“This new investment brings total new funding to €65 million and is a clear demonstration of the confidence that investors have in Smart Telecom’s new business model.

“Our new streamlined and highly focused business model leaves Smart Telecom well positioned for a profitable future,” he said.

As a further part of the pre-privatisation restructuring plans, Smart has also appointed a new chief financial officer in the form of Paul Talbot, who was previously EMEA vice-president of finance and operations of Cadence Design Systems.

Smart Telecom is focusing primarily on broadband, voice over internet protocol and data as part of its future development.

By Marie Boran