Superloop has agreed to acquire Melbourne-based white label broadband and managed services provider Acurus for $15 million.
The $15 million purchase price comprises $12 million in cash and $3 million in Superloop shares, and also includes potential earn out payments of up to $20 million subject to meeting targets related to EBITDA performance and operational milestones.
Superloop expects to complete the acquisition in July 2022.
The ASX-listed telco said the deal would expand its white label broadband relationships and grow its subscriber base, while Acurus customers would gain access to Superloop’s network and NBN access.
Superloop will acquire both Acurus’ managed services provider business and its Anex white label platform, and the company expects the additions to be immediately accretive to its 2023 financial year numbers.
The company’s white label customers include Energy Australia and Officeworks, while its MSP clients include Bakers Delight, Zen Energy, Roy Morgan and Hume Bank.
"We're excited by this acquisition as it expands Superloop’s addressable market beyond traditional telcos and into the growing domain of non-traditional retailers,” Superloop chief executive Paul Tyler said.
“With this newly acquired white label telco capability, brands from any industry who are looking to broaden their core offering with turnkey telco services now have a great option.
"Customers will have access to the well-regarded expertise of the Acurus team for integrated white label services combined with Superloop's high-speed infrastructure-on-demand platform and network assets.”
"It's the next step in our strategy of growing our portfolio and customer base across all three of our customer segments, to monetise the core Superloop infrastructure," Tyler added.
"Our purpose remains to enable better internet through competition. The challenger segment in the telco industry continues to grow towards the 30 percent market share vision we outlined to investors in November 2021. We intend to continue to be a major catalyst of that growth.
"The acquisition also continues our focus of delivering superior returns to shareholders. The recent sales of our Hong Kong network and parts of our Singapore network have released capital that we will continue to deploy in organic growth and acquisitions, such as Acurus, that add new capability to the overall Superloop offer."