Vodafone acquires iHug

9 Oct 2006

Vodafone, New Zealand’s largest cellular operator, has acquired the ISP iHug for AUD36 million (USD26.8 million). iHug provides dial-up and broadband internet services and is New Zealand’s third-biggest internet operator with around 120,000 subscribers. iHug’s Australian parent company iiNet has been looking to offload its New Zealand division for some time so that it could concentrate on its domestic operations. Vodafone has recently announced plans to enter the fixed line sector with a converged fixed-mobile service and it is also known to be keen on entering the broadband internet market.

New Zealand