Scitec has agreed to sell its communications business for Marconi for around $70 million.
Australian Communication Solutions, Scitec's outsourcing, integration and network design arm, will bolster Marconi's local communications infrastructure, officials said. Its customers include Telstra, North Power and the Federal GovernmentThe sale is conditional upon approval from shareholders and the Foreign Investment Review Board. If FIRB approval is not obtained, Marconi must pay costs of $4 million to SCITEC. If shareholder approval is not obtained, SCITEC must pay costs of $4 million to Marconi, the companies said in a statement.
"This move underlines Marconi's commitment to develop a stronger local presence to service our customers in Australia and the Asia Pacific region," Neil Sutcliffe, CEO of Marconi Services said.
"We intend to build on this important platform to make Australia the Centre of Excellence for Marconi's regional service and support operations, supporting our activities across 14 countries".