BigAir to acquire Star-Tech in $1.2 million deal

BigAir to acquire Star-Tech in $1.2 million deal

The deal is expected to be completed on April 30

Wireless telecommunications company BigAir is set to acquire Star-Tech communications for $1.2 million.

Big Air has entered in to a share sale agreement to acquire all of the shares in Unistar Enterprises Pty Ltd, trading as Star-Tech communications, a telco and wireless engineering services company.

The deal, which will see BigAir acquire Star-Tech for an all share consideration of $1.2 million (1,263,158 BigAir shares), is expected to be completed on April 30.

BigAir previously bought the managed ISP division of Star-Tech in 2010, which marked its entrance into the student accommodation market.

BigAir chief executive, Jason Ashton, said Star-Tech was founded in 1990 as a telecommunications and wireless engineering company.

"We expect Star-Tech to provide a significant boost to BigAir's high-speed fixed-wireless infrastructure construction and maintenance capability, as well as adding capability to our community broadband Wi-Fi and enterprise 'Wi-Fi-as-a-service' capabilities."

Star-Tech generated revenues of $2.1 million and EBITDA of $39,000 in 2013.

Revenue is expected to be in the range of $2-2.3 million in 2014 and is expected to contribute more than $450,000 in annualised EBITDA to the group once cost synergies are realised, according to a company statement.

"Revenue and earnings generated from the Star-Tech customer base are expected to improve further in subsequent years through the bundling of additional services and through the additional coverage provided by the BigAir network," the statement said.

Follow Us

Join the newsletter!


Sign up to gain exclusive access to email subscriptions, event invitations, competitions, giveaways, and much more.

Membership is free, and your security and privacy remain protected. View our privacy policy before signing up.

Error: Please check your email address.

Tags ISPWi-Fibigairacquisitionsstar-techJason AshtonWi-Fi-as-a-ServiceUnistar Enterprises Pty Ltdtelecommunications and wireless


Brand Post

Show Comments