Smart Telecom Plc today confirmed the conclusion of its strategic review, which was announced at the companies AGM on 8th September. As a result of the review around 248 jobs will be lost as the company reduces its staff substantially to about 100 people.
The company announced that it had secured continued funding from key shareholders through NCB, which are meant to allow the company to re structure its operations.
In a statement Smart Telecom announced that it would be focusing on â€œcontrolled growth in its corporate and residential broadband businesses,â€ and would be divesting itself of a number of non core businesses: like payphones and pre paid call cards; in the coming months.
Hugh Cooney of BDO Simpson Xavier has been engaged by the Board to help with the management of the restructuring process. There have also been a number of resignations from the Board, executive directors Paul Sullivan and Maria Pearl Roche and non executive director Ken Barry.
The CEO of Smart Telecom, Ciaran Casey said in a statement: â€œI am very satisfied with the outcome of the strategic review and I believe that the review will bring Smart very quickly to a cost base appropriate to our revenues and will reposition the Company for growth within broadband and corporate services.â€
In the two weeks since the strategic review was announced, we have implemented
major change in the Company. Significant challenges remain but we can move
forward from this point with renewed optimism.
Smart Telecom also announced its half year interim results for the period ending 30th June 2006. The results revealed a 15% drop in turnover from â‚¬23.7m to â‚¬20.3m.