6th Jul 2015 14:17
LONDON (Alliance News) - Artilium PLC Monday said its subsidiary United Telecom NV bought Dutch virtual mobile network operator *bliep for EUR190,000.
The telecommunications software company said that it will pay EUR140,000 in cash and the remaining EUR50,000 through the issue of 585,000 Artilium shares at 6.10 pence each. Shares in Artilium were trading down 4.0% at 6.00 pence Monday afternoon.
The cash payment will be funded out of its existing cash resources.
*bliep works on the Tele2 network in the Netherlands and has approximately 21,000 customers. As part of the transaction, Artilium has agreed to settle certain unpaid invoices by *bliep due to Tele2 in relation to network usage over the three months prior to the transaction, which will be payable during 2016 and 2017, amounting to a total liability of around EUR205,000.
Artilium added that it intends to issue a convertible loan note for a cash amount of EUR200,000 to an existing shareholder, repayable in full in January 2016 at a rate of 8% or convertible to new shares in the company.
"With the acquisition of *bliep and its customer base, we are adding a very exciting brand to our business and are expanding our mobile retail offering internationally," Chief Executive Bart Weijermars said in a statement.
"In addition to brand and customers, Artilium will also acquire the technology that offers the simple and flexible customer interaction software linked to the Artilium enabling platform which will provide Artilium with the opportunity to provide a more comprehensive offering to other customers of its platform as well," he added.
By Karolina Kaminska; [email protected] @KarolinaAllNews
Copyright 2015 Alliance News Limited. All Rights Reserved.
Related Shares:
ARTA.L