VSNL may rename Tyco

VSNL may rechristen its latest acquisition, Tyco Global Network (TGN), as Tata Global Network. "A section of the VSNL board wants the newly acquired company to be named as Tata Global Network. Nothing is, however, finalised as the board is still evaluating options," said K A Chaukar, managing director, Tata Industries Ltd. The company was acquired by VSNL for $130 million.

TGN is a undersea cable network that spans 60,000 km covering North America, Europe and Asia.

On a cash basis, TGN achieved a revenue of $ 80 million during last year. After the acquisition, VSNL will become one of the world's largest providers of submarine cable bandwidth in the world.

With this acquisition, the ongoing management responsibility of TGN will be assigned to VSNL International, the division leading VSNL's expansion into key global markets.

"All existing clients of TGN will continue with VSNL. All employees of Tyco, about 200, will be absorbed by VSNL. VSNL International has about 30 employees," Govind Sankaranarayanan, vice-president, finance, VSNL. TGN has about 100 clients under its belt.

"On a consolidated basis, TGN revenues will be part of the VSNL results," said Sankaranarayanan, who will soon be appointed as the chief financial officer of VSNLInternational.