Singapore Telecommunications' Australian unit Optus said on January 11, it had acquired Virgin Mobile Australia (VMA) from the Virgin Group after buying a remaining 74 percent stake for A$30 million ($22.6 million).
Optus said it had been granted a 15-year licence for ongoing use of the Virgin Mobile brand in Australia, extending to other telecommunications products.
"The acquisition cements VMA's future and creates significant new opportunities in marketing an expanded product range to consumers," said Managing Director Optus Wholesale and Satellite, Warren Hendy.
Optus is SingTel's single biggest revenue earner but is facing increasing price pressures in the competitive Australian mobile market.
The purchase comes after Australia's biggest telecom group, Telstra Corp Ltd, announced in November an overhaul of its infrastructure, including an upgrade of its mobile network.
SingTel's Australian listed shares ended on Wednesday down nearly 1 percent at A$2.09 in a broader market up 0.4 percent.
Comments
Comments are closed for this article.