Singapore tech firm Circles said to be weighing sale of Circles.Life
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Circles Global plans to retain its software-as-a-service platform, which helps telcos launch and operate digital brands, sources said.
PHOTO: @CIRCLESLIFESG/INSTAGRAM
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Hong Kong – Circles Global, a technology company whose backers include private equity firm Warburg Pincus, is considering a sale of its digital telecommunications services provider Circles.Life amid interest from prospective investors, according to people familiar with the matter.
The Singapore-based company is working with a financial adviser as it evaluates a potential sale that could value Circles.Life at a few hundred million dollars, the people said, asking not to be identified because the process is private.
Circles Global plans to retain its software-as-a-service platform, which helps telecoms companies launch and operate digital brands, the people said.
Considerations are ongoing and no final decisions have been made, the people said. A representative of Circles declined to comment.
The Singapore telecoms industry counts companies such as Singtel, StarHub, M1 and Simba Telecom among its players.
Established in 2014, Circles has partnerships with telecoms operators in 15 countries globally, according to its website.
It launched Circles.Life two years later as a mobile virtual network operator (MVNO) using the network of M1 to offer services including voice, data and roaming services and international calls.
Circles.Life has since expanded in other markets such as Taiwan, Australia, Indonesia and Japan.
Other backers beyond Warburg Pincus include Peak XV Partners, formerly Sequoia Capital India and South-east Asia, EDBI and Founders Fund.
MVNOs, as the firms are often referred to, typically contribute to a significant part of cash flows to the firms that own the networks, making them a compelling acquisition target for telecoms operators globally. BLOOMBERG
