Telecommunications Group Administration

Divestment Support and Break-Up of Telecommunications Group in Administration

Business - Digital - Prof Svcs - MA & D

Client Need

A major global Telecommunications organisation went into administration in the UK. Transaction Integration team was asked to provide support to the administrators with regard to viability of divestment options. Involved analysing feasibility, plans, risks and costs of each divestment option by evaluating plans with respect to the finance, HR, Real Estate, IT & core and non core business functions. Plans had to reflect the latest restructuring initiatives underway to add a further layer of complexity.

Our Approach

We provided weekly updates to the administrators on the progress of the client IT team through liaison with the IT divestment lead and key divestment team members with respect to each divestment option being considered. Reports produced were focused on progress with respect to: Pre-signing tasks and activities; Day 1 Preparation (Full Legal Close); TSA Requirements from Day 1 onwards; Day X Preparations (Full Logical & Physical Separation requirements) Analysis conducted focused on an assessment of risks, quality of divestment plans and the accuracy of cost estimates for separation. Area’s reviewed included: IT application and infrastructure landscape plans. IP, Contracts, Software Licence and TSA requirements. IT Organisation & Operating model considerations

Outcome delivered

Provided regular timely reporting to administrators on divestment progress. Flagged risks and contingency plans developed to mitigate. Provided robust challenge to Global Parent company. Helped to maintain pace and focus of divestments. Provided deep technical input where client lacked experience, skills or knowledge. Helped client teams to consider options for separation and integration with potential buyers.