According to reports, Russian telecommunications giant Rostelecom is buying IP/MPLS network operator RETN. At least that’s what it sounds like — the Russian fiber market has always been a bit opaque to me and the tortured language issued by the FAS regulatory body didn’t help one bit:
“FAS considered the request of Rostelecom on the acquisition of the rights enabling it to determine the conditions of business activity by RetnNet (Russian office of the company) that it gets as a result of acquisition of 100 percent of RETN CAPITAL LTD shares by Rostelecom and decided to grant this request.
So does that mean they have the right to bid, to close, or just to do some due diligence? I haven’t managed to find other references to this deal with which to cross-check – anyone?
At any rate, the combination seems natural enough. Rostelecom operates the largest fiber backbone in Russia (160,000km connecting 350 PoPs), but while it has links beyond Russia’s borders it does most of its work within the country. RETN on the other hand operates a large IP/MPLS network whose main focus is connecting the major Russian nodes with their Western European counterparts with giant pipes. Here are their maps side by side:
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RETN IP/MPLS Backbone
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Categories: Internet Backbones · Mergers and Acquisitions
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I’m gathering it is “just to do some due diligence”.
Rostelecom looks for a own optical way to Europe market. Rostelecom buy cross the border capacity now. And the net of RETN have got glorious complementary topology for that.
There is more evident RETN map on facebook.com/retn.net.
The news is second heavy attempt of russian incumbent to take Western Europe. First one is EPEG – http://www.epegcable.com . Btw live RETN DWDM network and future С&WW lines repeat each other. Waiting a buttle?