- Optus Mobile Pty Limited has announced to purchase mobile business of amaysim Australia Limited (ASX:AYS) in a $250 million deal.
- Amaysim's mobile subscriber base has grown over the years, backed by the company’s plans on delivering the best customer services.
- In August, amaysim had announced selling its subscription energy business, Click Energy to Australia's largest electricity generation enterprise AGL Energy Limited (ASX:AGL).
- Apart from $250 million, there will be an additional value from franking credits.
ASX-listed provider of mobile and energy plans, amaysim Australia Limited (ASX:AYS) has stated its plans to sell its mobile business to Singapore-based telecommunications giant Optus Mobile Pty Limited before winding up the company. The deal took place on Friday with $250 million, more than its market capitalisation value.
Amaysim resells mobile phones and data plans on the Optus network and is the fourth-largest mobile provider in Australia. The mobile virtual network operator (MVNO) has approximately 1.19 million subscribers.
The news of the Optus' plans to buy amaysim came in last week, but it was officially confirmed on the opening of the ASX on Monday morning.
amaysim Australia Limited (ASX:AYS) shares soared ~12% to $0.750 mid-day on 2 November 2020.
Optus chief executive Kelly Bayer Rosmarin announced the purchase of amaysim along with launching a new product in the budget mobile category. During the occasion, Optus introduced its new internet brand called Gomo.
Bayer Rosmarin said Optus plans to disrupt the market in lower-end services and the customers seeking for value. She continued praising amaysim that in just ten years, the company has grown into the country's largest MVNO. Amaysim has built a brand over the period of time and offers services that fit well with the Australian consumers.
Optus intends to retain the amaysim brand. Optus belives said this deal would provide certainty and empower amaysim further in its needs to push forward the growth of the MVNO segment.
Second asset sale in two months
Amaysim said that the company sealed this sale with Optus after reviewing its options which would maximise shareholder value. The offer from Optus has given its stakeholders a premium along with the certainty to perform amid a rising competitive market. The company is seeking stakeholder’s approval during an extraordinary general meeting which will be held in January.
The sale price estimated around $207.2 million to $225 million which will be distributed to all shareholders. The amount will also include final net proceeds from the deal of Click Energy. The deal is very strategic, and the long-term wholesale contract will mutually benefit the company and customers.
Amaysim founder and chief executive Peter O'Connell commented on the deal that amaysim customers and staff are in safe hands of Optus henceforth.
In August, amaysim had announced selling its subscription energy business, Click Energy to Australia's largest electricity generation enterprise AGL Energy Limited (ASX:AGL) for $115 million.
Amaysim's growth in recent years
Since the last ten years of its foundation and five years on ASX, amaysim has achieved organic growth. The acquisitions have complemented its journey towards success. The company has grown substantially in recent years as it acquired other MVNO's such as Vaya, Jeenee and OVO.