Last week, Imagine entered into a deal with National Broadband Ireland to expand its reach and fibre network offering.
Rural broadband provider Imagine is cutting around 50 jobs as part of a “necessary restructuring” following its acquisition by Team Group.
In a statement to SiliconRepublic.com today (24 February), a spokesperson for Imagine said that employees were made aware of the “difficult decisions” since Imagine changed ownership last December.
“Imagine is operating in a highly competitive marketplace and the company needs to restructure in order to realign resources with customers’ evolving needs,” the spokesperson said.
“Since the change in majority ownership in December the company has been up front with employees about the difficult decisions and changes that would be required as it pivots away from fixed wireless access to the roll out of new and better fibre-based services to customers.
“While this is a very difficult process we are confident these steps will help ensure the company’s long term viability and the safeguarding of as many jobs as possible.”
The affected employees will be entering into a 30-day consultation process with the broadband company starting today.
Team Group, the owner of the country’s Armenia’s largest fixed line telecoms operator, purchased a majority stake in Imagine last December, which Imagine said would enhance its long-term performance. While for Team Group, the investment was its first foray into the EU.
Imagine’s previous top shareholder, the Canadian Brookfield Asset Management however, continues to remain a minority shareholder in the company.
Since the change in its ownership and management, Imagine has been pivoting towards fibre technology. Last week, the company entered into a network deal with National Broadband Ireland to expand its nationwide reach and fibre network offering.
According to the company, the new deal would “significantly” increase Imagine’s fibre broadband offering to existing and new customers, as well as provide higher speed internet.
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