NTT Communications, the international arm of NTT (Nippon Telegraph and Telephone) has injected $118.8 million into Australian telecommunications provider, Davnet Telecommunications (DavTel).
Under the agreement, NTT COM will obtain a 49 per cent stake in DavTel, a subsidiary of Davnet. In addition, two directors from NTT COM will join DavTel to participate in the company's management, officials said.
According to officials, the two companies will jointly provide IP-based services and other communications services to Australian businesses.
DavTel will gain access to NTT COM's Arcstar international IP backbone network and NTT COM will work with DavTel to "strengthen its Arcstar network services for multinational customers, officials said.
NTT Com said DavTel was selected as a partner because of its solid market position in the corporate segment in Australia and its promising future.