Swoop hones in on NSW telco

06/10/2021 - 12:00

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Swoop has chalked up yet another successful acquisition following the completion of a $4.2 million deal for Newcastle-based Countrytell.

Tony Grist, founder of Amcom, serves on the board of Swoop. Photo: David Henry

Swoop has chalked up yet another successful acquisition following the completion of a $4.2 million deal for Newcastle-based Countrytell.

Countrytell operates a fixed-wireless network of more than 30 towers, servicing NSW’s Snowy Monaro region, as well as one of Newcastle’s largest data centers.

Acquisition of the ISP will be funded through existing cash reserves with the purchase plan to comprise $2.1 million in cash and a further $2.1 million in shares.

Alex West, Swoop’s chief executive, said acquiring the ISP was another opportunity for Swoop to expand its infrastructure footprint in regional Australia.

“The company has invested significantly in upgrading its wireless, network infrastructure and transmission capacity and gives us a strong springboard for continued growth in this market,” he said.

“We look forward to the opportunities this acquisition provides in establishing a Newcastle presence for the Swoop brand.”

Countrytell is the first major acquisition undertaken by Swoop this financial year, after having picked up a slew of regional providers following its reverse listing on the ASX.

Its annual report, published in August, indicates the company expects its revenue to grow to $40 million this financial year with earnings expected to reach $10 million.

Shares in Swoop were trading at $2.18 as at 11:30am AEDT.

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