Route Mobile Limited, a global player in Communications Platform as a Service (CPaaS), has now become a part of the Proximus Group, a provider of digital services and communication solutions operating in Belgium and international markets, through a strategic acquisition by the latter.
In July 2023, Proximus Group signed a definitive agreement with the founding shareholders of Route Mobile to acquire 57.56% of Route Mobile through Proximus Opal for INR 59,244 million (EUR 643.0 million) cash consideration, which corresponds to a price per share of INR 1,626.40. Some of the founding shareholders of Route Mobile subsequently committed to reinvest EUR 299.6 million in Proximus Opal, resulting in a stake of 12.72%, expected to be completed in the next few weeks.
Over the past years, Proximus Group already built up a significant presence in the CPaaS and digital identity markets. The complementary expertise and global reach of Route Mobile (a leader in CPaaS) and their US-based affiliate – Telesign (leader in Digital Identity), will allow to reap the benefits of scale, accelerate growth as a truly worldwide group and generate shareholder value.
Following receipt of regulatory clearances and finalization of the MTO process, the transaction has been completed. The MTO stake, coupled with the shares acquired from the founding shareholders, brings the total shareholding of Proximus Opal in Route Mobile to 82.70%.
A strategic direction for global expansion
With this acquisition, Route Mobile has now become part of the Proximus Group, which becomes one of the world’s largest CPaaS players by messaging volume. This is a strategic direction for Route Mobile, which will help in entering mature markets like the USA and Europe, expanding product portfolio and unlocking identified synergies with Telesign.
Rajdip Gupta will continue as the Managing Director & Group CEO of Route Mobile and will also spearhead the CPaaS business, globally.
Talking about this development, Guillaume Boutin, Chief Executive Officer, Proximus, said, “Route Mobile is an exciting new addition to the Proximus Group’s family of international companies, which includes Telesign and BICS. This expansion enhances our CPaaS capabilities, completes our geographical reach and aligns with our expectations of creating substantial value. It’s a strategic move that we believe will contribute positively to Proximus’s risk profile and support our goals for sustainable growth and cash flow. I really look forward to embracing this new phase in our strategic development.”
Rajdip Gupta, Managing Director & Group CEO, Route Mobile Limited, said, “Route Mobile completes 20 years of its establishment this year. It has been a remarkable journey from Bootstrap to IPO to a Profitable Unicorn. This development takes us one step further to our goal of becoming a $1 billion revenue company”. He also said, “We look forward to working with Telesign and creating a global leader in digital communications and digital identity within the Proximus Group.”
