L1 invests in cloud firm Qvantel
Qvantel provides B2B digital cloud-based software for telecoms operators
LetterOne has made a strategic investment in cloud-based business solutions support (BSS) provider Qvantel, its latest outlay in the telecoms sector.
Finland-based Qvantel Group provides B2B digital cloud-based software for telecom operators, and recently signed an agreement that will see its solution integrated into Ericsson’s BSS offering.
Qvantel has core business operations in Finland, Sweden, India, Spain, Switzerland. Earlier this year, it expanded its global presence by opening an office in the USA.
L1, which holds a 48% stake in Russian operator VimpelCom, did not disclose the value of this latest investment.
Matti Roto, Chairman of the Board of Qvantel said: "Our Business Support Systems bring significant cost savings for telecom operators and increase the efficiency of their operations. I am proud that we are able to provide a great customer experience, helping our clients perform better towards the end-customer.
“This combined with the increased need for telecom operators to respond to changing consumer demands, means BSS is a key element of any operator's network and business strategy.”
It is the latest investment from L1, which recently announced a $50 million agreement with US-based mobile virtual network operator (MVNO) FreedomPop, ahead of its launch of services in Mexico.
It is part of a drive to invest around $2-3 billion in mid-to-late stage technology growth opportunities. It has also invested in VimpelCom, Turkcell and Uber.
Commenting on the latest investment, Alexey Reznikovich, L1 Technology's managing partner, said: "We are very pleased with our investment announced today. Our strategy at L1 Technology is to look for digital companies that will create new digital business operating models of the future which will enable the telecoms industry to capitalize on a key competitive advantage, which is its relationship with its customers.”