Context
A major APAC telecom group sought to carve out its Software Centre of Excellence — responsible for mission-critical products across network infrastructure, customer management, and digital services — into an independent, profit-driven entity. The objectives included tax optimisation through relocation to a favourable jurisdiction, IP management, and regulatory compliance across multiple markets.
The challenge
The carve-out required an end-to-end assessment covering technology capabilities, regulatory compliance, taxation, intellectual property management, and the design of a sustainable operating model that would support independent growth and profitability from Day 1.
What we did
We evaluated the CoE’s technical infrastructure, IP portfolio, and digital service capabilities to determine carve-out readiness. We conducted thorough assessments of tax-friendly jurisdictions, analysing corporate taxation, legal frameworks, and regional business advantages to identify optimal relocation options.
We designed a clear separation model for operational and intellectual property functions, including governance structures, SLAs, and reporting protocols. We built financial models evaluating the full carve-out implications — cost-benefit analysis, long-term value creation, and risk mitigation strategies for regulatory, tax, and operational risks.
We then crafted a comprehensive transition roadmap and secured board approval through structured stakeholder engagement.
Results
- Achieved significant tax optimisation and operational efficiencies through recommended regional relocation
- Enabled clear governance separation of the CoE, enhancing organisational agility and decision-making
- Identified new revenue opportunities across MENA, positioning the carved-out entity as a competitive standalone profit centre
- Secured board approval through comprehensive, risk-mitigated strategic planning
Related service areas: M&A, Profitability