Superloop acquires VostroNet, expands MDU presence
Asia Pacific metropolitan network provider, Superloop is to acquire wholesale provider VostroNet. The acquisition also consolidates and expands Superloop’s wifi position into adjacent on-net broadband markets.
VostroNet delivers high-speed FTTP and intelligent wifi networks for multi-dwelling (MDU) and broadacre developments serviced with VostroNet fibre networks. Key customers include UniLodge, Iglu Student Accommodation, Queensland University of Technology and the Sunshine Coast Council for wifi solutions and Billbergia, CBUS, and Consolidated Properties for smart FTTP network infrastructure.
The combination of assets is designed to deliver a market-leading position in the supply of broadband in the Tertiary Student accommodation sector, delivering national coverage to around 40,000 student beds. This market segment has now recovered to its pre-Covid levels. The acquisition represents the next step in Superloop's strategy to develop its On-Net Smart Communities division via the addition of FTTP capabilities, installed base and pipeline to address adjacent markets such as new developments, build to rent, broadacre and MDU markets and associated infrastructure builds.
Consideration for the acquisition is AU$35 million (before customary completion adjustments), comprising AU$24.5 million in cash and AU$10.5 million in Superloop shares.
Paul Tyler Managing Director and CEO at Superloop says: "We are extremely pleased with this transaction as, in addition to strengthening our position in the provision of on net broadband services to the student accommodation market, it also adds capability in the growing build to rent and MDU markets. We welcome the employees from VostroNet to Superloop and look forward to deepening the relationship.”