SINGAPORE: CSE Global Limited has completed the acquisition of Logic Wireless entities including Logic Wireless Limited, Logic Wireless Pty Ltd, and Logic Wireless Europe Limited for a consideration of NZ$ 25 million ($20.8 million).
Following the completion of the acquisition, Logic Wireless Entities have become indirect wholly-owned subsidiaries of CSE Global.
For the purpose of holding the Logic Wireless Entities, CSE has incorporated several entities:
· CSE Technologies Pte Ltd Singapore holds 100% interest in Logic Wireless Europe Limited.
· Logic Wireless Holdings Limited New Zealand holds 100% interest in Logic Wireless Limited.
· Logic Wireless Holdings Australia holds 100% interest in Logic Wireless Pty Ltd.
Both Logic Wireless Holdings Australia and New Zealand are CSE Global’s indirect subsidiaries through the company’s wholly owned subsidiary CSE Technologies Pte Ltd Singapore.
The group sees this acquisition as an opportunity for it to expand and extend its existing radio-communication business and solutions to its customers in New Zealand, Australia and the UK.
Logic Wireless is a leading provider of critical communication such as two-way radio and cellular communication solutions through New Zealand (plus the Pacific Islands), Australia and the United Kingdom founded in 2004.
Two-way radio communication and cellular solutions are distributed by Logic Wireless to governments and core industries including transport, mining, forestry and public safety to meet critical communication and health & safety needs. Logic Wireless has established comprehensive dealer networks in New Zealand and Australia in addition to developing a dealer network in the United Kingdom.
Over the last two years, Logic Wireless has been developing Software as a Service (SaaS) solutions that integrate traditional two-way radio and broadband cellular products. Based on its unaudited consolidated financial statements for the financial year ended June 30, Logic Wireless recorded net profit before tax of approximately NZD4.0 million and EBITDA of NZD4.5 million.
Further, the net book value and net tangible assets attributable to the sale shares as at June 30 were approximately NZD7.2 million. The open market value of the sale shares is not available as the sale shares are not listed or traded on any securities exchange.