Truphone specializes in selling embedded SIMs, which are used by Apple and many mobile network operators. The firm employs around 450 people, and has coverage across 200 countries, with 400 direct network agreements in place.
According to the FT, the company was valued at £410 million ($504m), while Abramovich, along with his business partners had invested over £300m ($368m) into the firm. Abramovich had a 23 percent stake in the company.
The Investors are buying the assets and subsidiaries of Truphone Limited, following the completion today of the company’s restructuring and the recent receipt of National Security and Investment Clearance from Rt Hon. Grant Shapps MP, the Secretary of State for Business, Energy and Industrial Strategy (BEIS) as well as a license from the Office of Financial Sanctions Implementation (OFSI) at HM Treasury.
The assets of the Truphone business have been acquired by TP Global Operations Ltd., a newly incorporated vehicle that is 100% owned by the Investors. The Investors intend to immediately provide additional funding to support the ongoing business and its future development, with a particular focus on its leading product offerings in the areas of: truphone sold
• The growing market of compliance solutions for recording mobile communications and messages for regulated financial institutions. This is a domain where Truphone already offers some of the most innovative solutions accepted by regulators, serving the increasing demands for compliance technologies that financial institutions like banks and asset managers are facing
• Its leading eSIM technology for supporting mobile network operators and global device manufacturers meeting customer demand for eSIM-enabled communications as more devices start shipping without traditional plastic SIMs
• The unique international capabilities of the core Truphone network and its mobile virtual network operator (MVNO) licenses in nine countries – with new countries to be added – to develop and grow applications in the Internet of Things (IoT) space
Commenting on the acquisition, Pyrros Koussios said: “Truphone is an innovative and highly specialized mobile telecommunications player, with established industry-leading R&D at the forefront of important innovations like the eSIM technology. We were attracted to the breadth and sophistication of the services offered. The company has continued to grow strongly in 2022 despite the uncertainties caused by its prior ownership and delivered growth well above 20%. This impressive performance underlines the quality and resilience of the business as well as the commitment of its employees.”
Hakan Koç added: “I know a great tech company when I see one. Truphone’s R&D hub in Lisbon is impressive. We now look forward to executing on our accelerated growth plans and delivering new and innovative products for our customers. The funding that we are providing will accelerate capital investment in the core network while building new software and API-driven digital capabilities to address not only the needs of enterprises but also those of tech companies. I consider myself the startup ambassador of the company and it reminds me of banking before the Fintech wave: this may be one of the last big industries where tech meets legacy processes, and we are here to fix it – it will be fun.”
Jeremy Fletcher, Truphone Chairman said: “We welcome today’s announcement and the certainty that it brings to the business. Koç and Koussios are both successful entrepreneurs, with the right experience, and now that the ownership issue has been resolved, they have a clear plan for growth and building the business for the future. We are delighted that despite the challenges that the company faced, with the help of the Government of the United Kingdom, and, in particular HM Treasury’s OFSI team and the BEIS ISU unit, we have been able to preserve the value of the business and protect the jobs of our employees.”
Harry Odenhoven, CEO at Truphone, added:“Truphone is a great business built on top of a privately owned and operated core global telecommunications network, offering a rich set of value-adding communication services to sophisticated multinational clients with international communications needs. We are trusted by leading banks, device manufacturers, network providers and companies around the world– and have played a key role in supporting our partners with the challenges that the current macro-environment continues to bring. I want to thank all our customers and suppliers for the support and trust in the last year and the years to come.”
With coverage in over 200 countries and with over 400 direct network agreements, Truphone offers a rich set of value-adding communication services to 2,000+ multinational enterprise customers including most leading global investment banks. Truphone remains committed to delivering communication technology innovations addressing the needs of its demanding global clients. truphone sold
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