Glentel

Glentel Inc.

Public

TSX: GLN
Industry Wireless
Founded (1963)
Headquarters Burnaby, British Columbia, Canada
Number of locations
 400+
Area served
 Canada, United States
Key people

Tom Skidmore,

Chairman, CEO, President
Products Wireless, Telecommunications
Revenue Increase C$308 million (2009)
Increase C$24.5 million (2009)
Increase C$15.9 million (2009)
Number of employees
 2,100+
Website http://www.Glentel.com

Glentel is a Canadian retail firm. Based in Burnaby, the company deals primarily as an independent retailer of mobile phone services; in Canada, the company operates over 400 wireless outlets under brands such as Tbooth Wireless and WirelessWave, particularly in mall kiosks. Glentel outlets sell services from Bell Mobility, Rogers Wireless, their respective pre-paid/value brands (such as Fido and Virgin Mobile), and SaskTel in Saskatchewan. The company also operates store-within-a-store kiosks at Canadian Costco and Target locations under the Wireless etc. and Target Mobile brands.[1][2] In 2010, the company first expanded into the United States with its acquisition of Verizon Wireless retail chain Diamond Wireless.[3]

On November 28, 2014, Bell Canada announced that it would acquire Glentel for $670 million, pending regulatory approval, in an effort to boost its retail presence.[4] After a dispute with Rogers, who argued that it was contractually required to consent to any change in ownership of the company, Bell announced that it would divest a 50% stake in Glentel to Rogers upon the closure of the acquisition, turning the company into a 50/50 joint venture between the rival firms.

Retail Division

Glentel’s Canadian Retail Division has three brands – WirelessWave, Tbooth Wireless, and Wireless etc., Target mobile It has more than 310 retail locations that are located in shopping malls, street fronts, and Costco Warehouses across Canada. Glentel's US retail division consists of over 240+ Diamond Wireless - Verizon Premium retail locations in the United States.[5]

Glentel's original brand, WirelessWave, was founded in 1997. The first store was opened in Burnaby's Metrotown Mall.[6] WirelessWave currently has 121 mall-based and street front stores located in British Columbia, Alberta, Saskatchewan, Manitoba, Ontario, Québec, Nova Scotia, and New Brunswick.[7]

In 2005, Glentel acquired Tbooth Wireless. Since 2005, the number of Tbooth wireless stores has increased by more than 50%, with over 80 locations across Canada; including an expansion westward into Alberta and British Columbia.[8]

In 2007, Glentel launched Wireless etc., a store-within-a-store for wireless services at Costco locations.[6]

In August 2010, Glentel acquired Diamond Wireless, a Verizon Wireless retailer based in Salt Lake City, Utah. There are 132 stores, the majority of which are located in shopping malls in the southern and western United States; Diamond Wireless has a presence in Washington State, Oregon, Utah, Colorado, California, Arizona, Nevada, New Mexico, Texas, and Hawaii.[9]

In October 2010, Glentel launched Wireless Wave in Québec as Wave Sans Fil.[10]

In November 2012, Glentel bought an 83% stake in telecommunications retailer AMT Group for 70.6 million Australian dollars (US$73.4 million).[11] The AMT Group operates and manages over 210 stores nationally across Australia under Samsung, Allphones and Virgin Mobile branded Stores. The AMT Group consists of 5 brands which includes AllPhones (operating in Australia and Philippines), My Number, All Distribution, Walk n Talk and Australian Retail Management Services.

In 2013, Glentel/AMT Group bought a 25% stake in Vodlo Pty Limited, a Sydney based multinational software firm with offices in the United States and India . The decision to purchase equity in Vodlo was made due to their implementation of mobile and cloud technology within their product offerings, CloudMito which provides telecommunication retail outlets with transactional and contract processing solutions. In an interview held at the World Mobile Conference in 2015, CEO Aniket Tapre, CIO Daniel Aiello and CTO Matthew Adams hinted at a new product category that Vodlo was exploring with an official public announcement expected to be made in spring about the companies future product offering.

Corporate history

Glentel has a long and complex history.[6]

Proposed acquisition by Bell

On November 28, 2014, Bell Canada announced that it would acquire Glentel for $670 million, pending regulatory and shareholder approval, in an effort to boost its retail presence. Bell also operates first-party retail outlets for its services, and owns The Source, a Canadian electronics store chain that also sells Bell services. The company plans to continue serving as a reseller for non-Bell brands after the acquisition is completed.[4]

On December 17, 2014, Rogers Communications filed for an injunction against Glentel at the Ontario Supreme Court, seeking to have the acquisition blocked. It argued that pursuant to its supply agreements with the company, Glentel must receive consent from Rogers before any change in ownership of the company. Rogers also foresaw the possibility of Glentel's retailers showing favouritism towards Bell brands following the merger. Glentel CEO Tom Skidmore disputed Rogers' complaint, stating that "Rogers has the right to remove their products from our Canadian stores if they choose to terminate its agreement with us, but has no right under its agreement to block the acquisition of Glentel."[16]

On December 24, 2014, Bell announced that Rogers had dropped its injunction, after it reached an agreement to divest a 50% stake in Glentel to the company upon completion of the purchase.[17]

References

  1. ↑ "Glentel Inc. signs cellular phone licence agreement with Costco Wholesale Canada". Retrieved 28 November 2014.
  2. ↑ "Glentel to handle Target’s wireless offerings in Canada". Canadian Press. Retrieved 28 November 2014.
  3. ↑ "Glentel looks south, snaps up U.S. chain". The Globe and Mail. Retrieved 28 November 2014.
  4. ↑ 4.0 4.1 "BCE to buy wireless retailer Glentel for $594-million". The Globe and Mail. 28 November 2014. Retrieved 28 November 2014.
  5. ↑ Glentel - Company Overview, Hoovers, Retrieved 2010-11-12
  6. ↑ 6.0 6.1 6.2 Glenayre, Wireless Survivor, Wanless, Tony, 2010-01-06, BC Business
  7. ↑ WIRELESS WAVE - About us - Retrieved 2010-11-12
  8. ↑ Tbooth wireless About us - Retrieved 2010-11-12
  9. ↑ Glentel completes 132 store acquisition in US, Reuters, 2010-10-01, Retrieved 2010-11-12
  10. ↑ Glentel opens WIRELESSWAVE brand in QC under WAVE SANS FIL name, Persaud, Christine, 2010-10-05
  11. ↑ http://www.glentel.com/newsroom/press-releases/2012/11/01/glentel-completes-83-acquisition-of-amt-group---australia-s-largest-multi-carrier-mobile-phone-retailer
  12. ↑ Glentel moves into U.S. market, Sturgeon, Jamie, 2010-08-16, Financial Post
  13. ↑ GLENTEL ACQUIRES THREE APPLE SPECIALTY STORES IN B.C.
  14. ↑ Glentel Inc. Acquires 83% of Australia's Largest Multi-Carrier Mobile Phone Retailer
  15. ↑ Glentel Inc. Completes Acquisition of Wireless Zone®
  16. ↑ "Rogers turns to courts in attempt to block Glentel sale to BCE". The Globe and Mail. 17 December 2014. Retrieved 18 December 2014.
  17. ↑ "Rogers, BCE to form joint venture for control of Glentel Inc.". Canadian Press. 24 December 2014. Retrieved 25 December 2014.

External links