BT to buy Mumbai-based i2i

BT group, the UK's incumbent telecom operator will acquire Mumbai-based i2i Enterprise Ltd, a company specialising in Internet protocol services to become a leading global carrier in the local market.

The acquisition would help BT expand its customer base and build a broad-based platform for growth in India, BT India MD C S Rao said. i2i has NLD and ILD as well as Internet Service Provider and Internet telephony licenses.

The company did not disclose the cost of acquisition saying i2i's gross assets stand at $22.5 million at the end of March last year. BT Telecom India has already been issued letter of intent for NLD and ILD licenses in the country and hopes to get the licenses soon as it has already paid the license fees.

i2io specialises in selling telecom and related services to local and overseas corporations operating in India and already has a distribution agreement with BT's Global Services IT and network services wing.

It is a leading global managed service provider with a significant customer base in the IT, ITeS, banking and finance segments.

"BT will become the biggest foreign global carrier operating in India today as a result of this deal. It will help BT build a broad-based platform for growth in India," Global Services chief Andy Green said.

i2i and a headcount of around 200 people and its takeover would be the 'cornerstone' of its growth strategy in India, Green said.