Startek Completes Transaction to Sell Interest in Contact Center Company
April 03 2023 - 4:05PM
Business Wire
Startek to Prepay Debt of Approximately $55
Million from the Net Proceeds of the Transaction to Further Improve
Balance Sheet
Startek, Inc. (NYSE: SRT) ("Startek" or the "Company"), a global
customer experience (CX) solutions provider, has completed the
divestiture of its interest in Contact Center Company (CCC) to
Arabian Internet and Communications Services Company
(Solutions).
Effective today, Solutions has acquired 51% Startek stake in
Contact Center Company (CCC) for an enterprise value of
approximately $61.5 million. Solutions will also acquire the
remaining 49% stake from the Company’s joint venture partner, Saudi
Telecom Company (STC). Startek plans to use $55 million from the
net proceeds to reduce its debt and improve its balance sheet. With
this strategic move, Startek aims to concentrate on enhancing its
operations across its core business segments and key
geographies.
Bharat Rao, CEO, Startek, said, “This transaction significantly
improves our balance sheet to the strongest we’ve seen it in five
years. Looking forward, we are excited to be able to place an even
greater emphasis on investing into our three strategic pillars –
sales, digital and technology – to further expand our best-in-class
CX solutions.”
"I would also like to express my gratitude to STC and its
leadership for their commitment during our 12-year partnership.
With STC's support, we were able to offer premier CX solutions to
numerous businesses in the Kingdom of Saudi Arabia. We take pride
in the accolades we received during this venture,” continued Rao.
“We believe Solutions is taking stake in a great asset and wish
them the best going forward."
About Startek®
For more than 35 years, Startek has delivered customer
experience (CX) excellence for the world’s leading brands. Spread
across 12 countries, our 36,000 associates create memorable,
personalized experiences in both voice and non-voice channels. Our
clients span from fortune 500s to fast-growing startups in a
diverse range of industries including cable, media and telecom;
travel and hospitality; retail and e-commerce and banking and
financial services. By creating closer connections, Startek
delivers value for our clients, opportunity for our people and
sustainable growth for our shareholders.
To learn more visit www.startek.com and follow us on LinkedIn
@Startek.
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Investor Relations Cody Cree Gateway Group, Inc.
1-949-574-3860 SRT@gatewayir.com
Media Relations Neha Iyer Startek
neha.iyer@startek.com
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