Over in the UK, an alternative provider is preparing for a possible M&A spree after raising a war chest of cash from private equity. Hampshire-based Onecom has taken in £100m in cash from LDC and credit funds managed by Ares.
Onecom has also brought in Mark Thomson, former head of MDNX/EasyNet, as chairman of its board. The company’s founder, Darren Ridge, will stay on in a non-executive role on the board, where he will be joined by LDC’s Yann Souillard.
So what do they intend to do with that money? According to CEO Ben Dowd, “The market is ripe for consolidation and Onecom can play a big role in this across mobile and fixed solutions where there is a huge number of resellers”. Sounds a lot like they plan to roll up some revenues onto their platform, although they are also talking about organic opportunities
According to Onecom, revenues have doubled over the last 5 years, and a recent deal with Vodafone is set to bring in £600m in revenue over the next 5 years. The company serves 100K business customers in the UK currently.
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