EDGE 2015 is starting in

Find out more EDGE 2015
Menu
MyNetFone buys ISP Connexus for $4.75m

MyNetFone buys ISP Connexus for $4.75m

To give MNF access to SME customers

Australian telecommunications provider, MyNetFone (MNF), has announced that it will purchase Melbourne-based Internet service provider (ISP), Connexus, for $4.75 million in cash.

Connexus has been in business for more than 23 years and specialises in delivering data communications to small and medium enterprise (SME) customers. It has approximately 15 staff in its office.

The transaction is to be funded, in part, by way of a $3m share placement to institutional and sophisticated investors, by issuing 4,167,000 shares at $0.72. The remaining $1.75m will be funded from free cash flow.

The MNF Board expects the acquisition to contribute gross revenue of $5.2m per annum, approximately $1.6m to its pre-tax profit over the next 12 months, and over $2.1m in annualised earnings before interest, taxes, depreciation and amortisation (EBITDA) post-synergy

According to a statement, the ISP will benefit MNF because “It is valued at a low pre-synergy multiple of approximately 2.9 times EBITDA, and has a strong and loyal customer base in the SME sector. Additionally, it offers valuable synergy potential to MNF in network consolidation, cost sharing and product cross-selling.”

The Connexus customer base consists of approximately 1000 SMB customers and about 600 residential DSL customers.

“Connexus provides us with a significant product portfolio in the managed data space, which will allow MNF to become a ‘one stop comms shop’ for Australian SMEs,” MNF CEO, Rene Sugo, said. “MNF will now be able to offer customers a full suite of hosted services.”

The agreement follows MNF’s acquisition of CallStream for $600,000, which was made public last week.

EDGE 2015:: For all the latest on EDGE 2015 including the keynote speakers visit the EDGE mini-site now

Follow Us

Join the ARN newsletter!

Error: Please check your email address.

Tags ConnexusInternet Service ProvideracquisitionMNFISPmynetfoneTelcoTelecommunications

Upcoming

Slideshows

In Pictures: Robots that cook, clean, sing and dance
Tech Hive

In Pictures: Robots that cook, clean, sing and dance

Cooking, learning language and doing the laundry are a few of the human skills demonstrated by.real humanoid bots featured in the National Geographic movie Robots.

In Pictures: Robots that cook, clean, sing and dance
IN PICTURES: OKI Data Australia partner event (+10 photos)
Business Products

IN PICTURES: OKI Data Australia partner event (+10 photos)

OKI recently hosted its ChannelOne dealer forum for its executive series channel partners to get together and learn about the company's new high-performance ES8400 A3 multifunction series printers. After a welcome and business overview from OKI Data Australia managing director, Dennie Kawahara, delegates were given a comprehensive overview of the new product, as well as an update on the latest marketing initiatives and software solutions, before being treated to live demos and a product showcase. Partners were also given a preview of OKI’s upcoming A3 digital LED white toner printer. With more than 60 delegates attending from all over the country, the day concluded with dinner at Casa Ristorante Italiano in Sydney and several delegates also participated in a friendly game of golf the following morning.

IN PICTURES: OKI Data Australia partner event (+10 photos)

iasset.com is a channel management ecosystem that automates all major aspects of the entire sales, marketing and service process, including data tracking, integrated learning, knowledge management and product lifecycle management.

Show Comments