Blue Label Telecoms has entered into an agreement with Malik Investment Holdings, to acquire 75% in Via Media, for a purchase price of up to R247.5 million.
Via Media is a mobile content and value-added services provider. Its technology platform connects to all South African Mobile Networks, while offering Mobile Terminate and originate and premium rated SMSes, Online Billing, Multimedia Messaging, WAP and Web services.
Via Media also offers its partners the ability to sell mobile entertainment, information and communication services to consumers through a variety of media and technology channels.
Blue Label said that the acquisition of Via Media affords it access to new channels for the distribution of both Via Media and BLT products and services.
The purchase consideration includes an initial payment of R144.375 million along with additional amounts adding up to R103.125 million if warranted profits are achieved by Via Media during a 36 month warranty period.