Publicly listed fixed wireless and wholesale network infrastructure provider Swoop is continuing to build its regional presence through acquiring Newcastle-based telco Countrytell for $4.2 million.
Founded in 2001, Countrytell is a regional telecommunications and data centre provider, delivering high-speed internet through a mix of technologies, including fibre and fixed wireless.
Its wireless network coverage includes more than 30 towers stretching across Newcastle, the Hunter, Mid-coast and Snowy Monaro regions in NSW. It also owns and operates data centre facilities and a recently constructed fibre network in Newcastle.
“Acquiring Countrytell’s network provides another opportunity for Swoop to further expand the coverage of our infrastructure footprint in regional Australia, as well as providing additional services via its data centre operations,” Swoop CEO, Alex West, said.
“The company has invested significantly in upgrading its wireless, network infrastructure and transmission capacity; and gives us a strong springboard for continued growth in this market.
“I am also excited to be working with this great team again, having previously collaborated when Vocus purchased Ipera from Newcastle entrepreneur Chris Deere, and eagerly welcome the Countrytell customers and staff to Swoop”.
The $4.2 million purchase price comprises $2.1 million in cash and $2.1 million in Swoop shares. Under the agreement, $630,000 of the cash consideration will be held back for 12 months for any potential claims and adjustments. All eight Countrytell staff will join the Swoop team.
This marks the fourth regional telco acquisition by Swoop since it became a publicly listed company in May this year, racking up Victorian-based Speedweb, Perth-based Community Communications (ComComs), and SA-based Beam Internet.