Dutch operator KPN has agreed to sell its international network to GTT Communications for EUR 50 million excluding cash and debt. The transaction includes the sale of international fibre assets and network points of presence (POPs) in 21 countries.
The transaction is part of KPN's efforts to simplify the company and follows the sale of other international assets such as the carrier iBasis and businesses in Belgium and Germany. KPN said it would use the proceeds of the divestment to "increase operational and financial flexibility". It remains subject to regulatory approval before closing.
KPN said it will continue to provide international services for its business customers in Netherlands. As part of the transaction, KPN will enter into a master services agreement with GTT to ensure continuity of international network services to its customers.
The acquisition for GTT further strengthens its European presence after the takeover of Interoute last year. The deal includes long-haul fibre routes and metro rings in Frankfurt, London, Amsterdam and Paris and more than 400 enterprise and carrier clients. GTT said it will be the preferred international network supplier for an additional 400 clients retained by KPN.
