Inabox shareholders approve sale to MNF Group

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Inabox shareholders approve sale to MNF Group

Cloud and telco player Inabox has agreed to MNF Group’s acquisition bid after shareholders voted in favour of its recently revised $34.5 million offer.

MNF’s board said in a statement that shareholders voted “resoundingly” in favour of divesting Inabox’s remaining businesses , which was the only condition required to approve MNF Group’s acquisition offer.

This means a rival offer from SB&G Telecoms has been rejected. SB&G on Wednesday increased its acquisition offer from 90 cents to 95 cents for each Inabox share it doesn't already own, to supplement its current 19.9 percent stake.

“MNF will now work constructively with the Inabox team to complete the transaction over the coming few days,” the telco’s statement read.

“The MNF board wishes to thank Inabox shareholders for their support of the transaction.”

Inabox first revealed that MNF (formerly My NetFone) made an acquisition offer in October for $30.5 million in cash, plus earn out bonuses up to $3 million, or roughly 80 cents per share. This was later countered by SB&G in November, offering an all-cash $21.4 million offer for Inabox shares that it didn’t already own, or 90 cents per share.

MNF then revised its offer to $34.5 million outright, without debt and without earn-out incentives. SB&G responded with the increased offer made on Wednesday.

Inabox started selling parts of itself in August 2018, when broadband network operator 5G Networks acquired its direct business for $5.7 million. The deal included Anittel and  Hostworks.

The sale came after revelations that the acquisition of Hostworks in February2018 contributed just $15 million in revenue rather than the expected $21.8 million.

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