7th Jul 2015 08:17
LONDON (Alliance News) - Satellite Solutions Worldwide Group PLC Tuesday said it has bought the customer base and related assets of Irish satellite broadband provider Onwave Ltd for EUR900,000, its first acquisition since listing on AIM in May.
Onwave has more than 2,300 residential and business customers, which Satellite believes provides the company with scope for significant growth both domestically and overseas.
Satellite expects the acquisition to be immediately earnings enhancing and said that Onwave will provide support services for 12 months to ensure a smooth transition of the customer base.
The satellite broadband provider added that it has signed a two-year business-to-business agreement with Ireland's national public service broadcaster RTE to provide it with Ka bandwidth across Europe, North Africa and the Middle East.
The Ka band is used in satellite communications, such as by Inmarsat, and allows higher bandwidth communication. It enables the satellite operators to transmit around ten times as much data over the same satellite capacity as older Ku band.
"I am delighted to announce SSW's first acquisition since listing on AIM. Onwave is an established company with tremendous potential, and perfectly illustrates our strategy of identifying and acquiring existing operators in key European markets thereby being a leading consolidator in the market place. With many further opportunities in the pipeline, we are confident this is the first of a number of acquisitions and strategic alliances over the coming months," Chief Executive Andrew Walwyn said in a statement.
Shares in Satellite Solutions were trading down 2.8% at 4.40 pence Tuesday morning.
By Karolina Kaminska; [email protected] @KarolinaAllNews
Copyright 2015 Alliance News Limited. All Rights Reserved.
Related Shares:
Satellite Solutions Worldwide Group