- Telecommunications company United Networks, has completed the acquisition of Broadland Solutions and Broadland Victoria
- Last month, United Networks announced it will acquire the Broadland Group for a script offer of over 265 million shares
- The combined group will have a pro forma revenue of $17.6 million based on 2019 financial year results
- United has confirmed that Victor Tsaccounis, Broadland’s Managing Director, will be the new CEO for the company
- United Networks remains steady on the Australian Securities Exchange and is selling shares for 3¢ apiece
United Networks has completed the acquisition of Broadland Solutions and Broadland Victoria.
Last month, United Networks announced it will acquire the Broadland Group for a script offer of over 265 million shares.
The acquisition was approved by shareholders at the annual general meeting today, following the completion of a number of formalities customary for a transaction of this nature.
The purchase was completed by the company issuing 266 million shares to the vendors of Broadband Solutions and Broadland Victoria.
The new combined company is expecting $2 million cash on hand due to the deal being finalised.
According to the company, this acquisition will increase both revenue and profitability for United Networks. The combined group will have a pro forma revenue of $17.6 million based on 2019 financial year results.
Both United Networks and Broadland operate and receive income from two main channels being mobile and telecommunications service provider.
United Networks has been providing telecommunication services to Australian business customers since 2002.
The acquisition is a great fit for the company and represents a strategic expansion of United’s existing mobile sim and telecommunications service provider business.
United has confirmed that Victor Tsaccounis, Broadland’s Managing Director, will be the new CEO for the company. Therefore, Nicholas Ghattas will be stepping down from the board on October 22.
“The company is in the process of finalising the terms of an Executive Services Agreement with Mr Victor Tsaccounis, in relation to his appointment as Chief Executive Officer and will advise shareholders of the material terms of this new agreement once executed,” the company added.
United Networks remains steady on the ASX and is selling shares for 3¢ a share at 3:17 pm AEDT.