iiNet confirms TransACT acquisition

21 Nov 2011

Alternative Australian broadband provider iiNet has confirmed the purchase of rival operator TransACT, less than a week after reports that the two had entered the final stages of a deal. According to iTnews, iiNet will spend AUD60 million (USD60 million) on the acquisition of the Canberra-based provider, and the deal is expected to be completed by the end of this month. Once finalised, iiNet will gain around 40,000 additional subscribers, as well as major infrastructure elements, including a hybrid-fibre coaxial (HFC) network in Victoria and fibre-to-the-premises (FTTP) networks at a number of Canberra housing estates.

Speaking of his company’s decision to move forward with the purchase, iiNet’s chief executive officer Michael Malone noted: ‘iiNet’s acquisition of TransACT represents an attractive strategic opportunity to build scale in the Australia Capital Territory (ACT) market quickly and efficiently … Adding 40,000 new customers, including blue chip corporate and government bodies, as well as strengthening our network and presence in the ACT and regional Victoria, will allow iiNet to further penetrate these key markets and extend our leading customer service and innovative products to a broader audience.’

Australia, iiNet (incl. Internode), TransACT