Net1 International exits Filipino venture

20 May 2021

Net1 International Holdings has reached an agreement to divest its share in Net1 Philippines (registered as Broadband Everywhere) to its local partner, Citadel Holdings. In a statement confirming its decision to exit the venture, Net1 International said that all necessary conditions had been met and the transaction had been completed. The value of the deal was not disclosed.

Net1 International intends to use the majority of the sale proceeds to pay down some of the existing outstanding shareholder loans from Rasmussengruppen and Sampoerna and the remaining amount will be re-invested into Net1 International’s Indonesian operation. The group’s Net1 Indonesia subsidiary is active in the 4G LTE segment and has a total 15MHz of bandwidth in the 450MHz band.

Commenting on the divestment, Net1 International’s interim CEO JD Fouchard said: ‘This transaction is in line with our strengthened strategic focus on the Indonesian market and will provide us with enough funding until a proposed capital raise in July’.

Philippines, Net1 International Holdings, Net1 Philippines