ASX-listed Vocus Communications has bought 100% of FX Networks, a New Zealand-based fibre provider, for NZ$115.8m (US$101m).
The data centre and dark fibre provider – which also operates in New Zealand, Singapore and the US – claims the transaction…
ASX-listed Vocus Communications has bought 100% of FX Networks, a New Zealand-based fibre provider, for NZ$115.8m (US$101m).
The data centre and dark fibre provider – which also operates in New Zealand, Singapore and the US – claims the transaction will allow it to become the third-largest network operator in New Zealand and the leader in trans-Tasman telecoms and data centres.
FX has a fibre optic network that spans over 4,000km across the North and South Islands of New Zealand and serves around 365 business customers.
Vocus said the transaction is fully funded with current cash holdings, a new multicurrency senior debt facility with the Commonwealth Bank of Australia and Vocus scrip – a combination of shares and/or cash – issued to FX shareholders.
Around 77% of FX shareholders have already indicated they will accept the offer, according to Vocus.
The transaction, which is subject to a number of conditions, is expected to complete in the second quarter of FY2015.
