Telecommunications services company Vonex has acquired a part of MNF Group’s direct business for $31 million.
MNF has offloaded its small business and residential business, which includes cloud phone, mobile and internet services under the MyNetFone brand. The deal does not include the MyNetFone name.
The sale comes as MNF looks to simplify its business and focus on its Symbio wholesale business. MNF acquired VoIP wholesaler Symbio Group in 2012.
Vonex said the deal would help materially expand its footprint of small-to-medium enterprise and residential customers across Australia, as well as bring in new channel partners.
As part of the deal, Vonex also agreed to enter into an exclusive Symbio wholesale supply agreement for phone numbers and minutes for five years.
"We would be delighted to welcome MNF's direct business and its customers to the Vonex group,” Vonex chief executive Matt Fahey said.
“As the new 'work from home' paradigm has become part of life for more Australians, we have increasingly focused on providing Australian SMEs with telco services that are reliable, affordable, flexible and scalable.
“Migrating and integrating the direct business with our own will bring us a meaningful national footprint and help us to gain the scale through which we can continue to deliver strong value to customers and investors."
Both companies expect the deal will complete in July 2021 if all conditions are met.
“The divestment of these direct businesses is in line with our strategy to simplify MNF’s business and drive growth in our CPaas and UCaas voice services, which are in high demand,” MNF chief executive Rene Sugo said.
“Importantly, funds from the sale will be reinvested into our growing wholesale business and
our expansion offshore.”