SYDNEY, AUSTRALIA: Swoop Holdings Limited (ASX:SWP) (Swoop) refers to its’ announcement of 1 July 2022 and announced the transaction to acquire Telco Pay trading as Moose Mobile has been completed.
Transaction highlights
• Swoop has completed the acquisition of Queensland-based national mobile virtual network operator Moose Mobile.
• Moose Mobile provides over 97,000 mobile services on the Optus Network to customers across Australia, with strong cash generation.
• The $24 million purchase price of the acquisition comprises $19 million in cash and $5 million in Swoop shares to be issued at the 5-day VWAP prior to signing which equates to 9,881,423 fully paid ordinary shares. These shares will be held in voluntary escrow until 1 August 2023.
• $2.85 million of the cash component of the purchase price will be held in escrow for 6 months for any potential claims and adjustments.
• An earn out of up to a maximum of $7 million is payable based on Moose Mobile’s FY2023 and FY2024 EBITDA performance and Services In Operation growth.
• The cash component of the acquisition will be funded from Swoop’s Westpac Debt Facility.
Swoop Mobile is a national provider of data and voice services to wholesale, business and residential customers with a focus on its own fibre and fixed wireless infrastructure. The Swoop network is designed and scaled to deliver ultra-reliable, high throughput, flexible telecom network services. Swoop is established and has the goal to build its business to become Australia’s best challenger internet and telecommunications provider.