Non-Binding Indicative Proposal to Merge with Superloop

Aussie Broadband Limited (ABB) has proposed a non-binding indicative proposal to merge with Superloop, aiming to own 100% of Superloop's issued share capital through a scheme of arrangement.


Non-Binding Indicative Proposal to Merge with Superloop

  1. Aussie Broadband Limited (ABB) has proposed a non-binding indicative proposal to merge with Superloop, aiming to own 100% of Superloop's issued share capital through a scheme of arrangement.

  2. Superloop shareholders would receive 0.21 ABB shares for each Superloop share held, valuing Superloop shares at $0.95 each, a 33.2% premium based on ABB's last closing price.

  3. The merger is expected to deliver benefits such as an attractive premium for Superloop shareholders, participation in future value creation, and improved share liquidity.

  4. Strategic benefits of the merger include creating a scale player in Australia with over 1 million subscribers, enhanced product offerings, a strong wholesale segment positioned for growth, and cost synergies from network cost duplication removal.

  5. The proposal is contingent on satisfactory due diligence, a mutually acceptable Scheme Implementation Deed (SID), and a unanimous recommendation from the Superloop Board.

  6. Aussie Broadband has acquired a 19.9% interest in Superloop at $0.95 per share and will issue a substantial shareholder notice in due course.

  7. Aussie Broadband shareholders are advised that no action is required from them at this stage, and they will be kept informed of any material developments.

  8. Aussie Broadband, established in 2008, is the 5th largest broadband provider in Australia, offering a range of solutions to various customer segments and is one of six tier 1 voice providers in the country.

This announcement is a summary of the company approved ASX announcement on 26/2/2024.