ASX listed Superloop Limited has announced that it has entered into an agreement to acquire GX2 Holdings Pty Ltd and its subsidiaries (GX2). Brisbane based Superloop is an independent provider of connectivity services across the Asia Pacific.

Upfront consideration for the strategic acquisition includes $6.0 million in cash plus $4.0 million in Superloop shares at an issue price of $2.38, or 1,680,672 fully paid ordinary shares. Shares issued to the vendors of GX2 rank equally with existing Superloop shares and are subject to voluntary escrow for 12 months. The vendors of GX2 will receive further deferred consideration of $2.0 million payable in cash in instalments in the 2 year period from completion. 

GX2 is a leading provider of managed connectivity services for major hotels, student accommodation sites and schools in 5 countries, designing, installing and supporting high performance WiFi network solutions for its customers. Today, GX2 is able to service over 50,000 guests for over 200 customers in 350 sites around the world.

Bevan Slattery, CEO of the Superloop Group, said “Over the past 10 years GX2 has developed one of the most comprehensive software platforms for managing large scale guest WiFi networks with an emphasis on providing granular control and visibility to operators of hotels, student accommodation, parks almost anywhere where there is guest WiFi access. This acquisition provides three main opportunities. First to support and accelerate the GX2 platform further internationally, secondly for Superloop to leverage this platform at our existing community broadband locations and finally to develop new leading edge offerings in combination with the Superloop network across Asia.”

Anthony van der Byl, Chief Executive Officer and Co-Founder of GX2, said “We are excited to be joining the Superloop Group to continue the expansion of our offering. Combining Superloop’s existing systems and infrastructure will help us accelerate into more markets across Australia and overseas.”

GX2 generated revenue from installation, ongoing management fees and hardware sales of over $9.2 million for the 2017 financial year.

Superloop aims to be the most trusted enabler of connectivity and managed services in Asia Pacific. The Group owns and operates over 600 km of carrier-grade metro fibre networks in Australia, Singapore and Hong Kong, connecting more than 250 of the region’s key data centres and commercial buildings. The Group also operates businesses including BigAir Group, NuSkope and SubPartners.