LONDON, UK: SkyMesh PTY LTD has completed the acquisition of the Satellite operations of Harbour ISP PTY LTD, a subsidiary of Uniti Group LTD in Australia. The total cash consideration paid on completion was AUD$4.72m (£2.7m) with a retention of AUD$0.2m (£0.1m), to be paid March 2023 post reconciliation of customer numbers.
SkyMesh is fully owned Australian business of Bigblu Broadband plc (AIM: BBB.L), a leading provider of alternative superfast and ultrafast broadband solutions throughout Australasia and the Nordics.
The satellite operations being acquired currently consist of c.5.9k customers. The customer base is being transferred to SkyMesh who will provide full ongoing support services from its Australian Customer Engagement Centre.
Uniti Group will continue to provide services for up to three months post completion to ensure a smooth transition of the customer base. The transfer of the customer base is expected to be immediately earnings enhancing.
As announced on 5 December 2022, the Directors continue to believe that the acquired operations are expected to generate annualised revenues of c.£2.5m and EBITDA of c.£0.7m with positive cash generation, enabling the Group to continue to reinvest and grow the business in the Australian market.
Andrew Walwyn, CEO of BBB plc, said: “We continue to believe that the profitability of operations being acquired should improve under BBB’s ownership given the Group’s operational gearing and economies of scale. The board remains focused on creating significant shareholder value through the rapid scaling of BBB’s Australasian Operations. In addition, the Board is continuing to explore all options to realise value for BBB shareholders from SkyMesh, including a potential ASX listing of SkyMesh.”