When an affiliate of Cerberus and a co-investor acquired a Canadian-based telecommunications company out of bankruptcy, the business had an impressive global communications infrastructure spanning dozens of countries, but had been slow in adapting from a national long distance carrier to an international telecommunications services provider.

The company had also been unable to translate its position and potential into a successful and profitable business. Seeing the inherent value of the business’s established position, Cerberus moved quickly following the acquisition to put the company on a path towards stability and profitability.

After installing an experienced management team, Cerberus implemented a growth and value-driven strategy following the acquisition by:

  • Acquiring the largest provider of international VoIP wholesale services in June 2004
  • Diversifying and upgrading the portfolio of telecommunications services offered
  • Streamlining operations and cutting costs

The VoIP provider acquisition gave the company access to the fast-growing and profitable Internet telephony business and made it one of the top three international voice carriers. The company expanded its reach to more than 240 countries and territories while offering its 1,400 plus wholesale telecommunications customers some of the most advanced voice, mobile and data services on a robust and reliable network.

After successfully reorganizing the company and shepherding its expansion into lucrative business areas such as VoIP and mobile communications, Cerberus completed a sale of the business to India’s leading provider of international communications and Internet services.