Autopage, a wholly owned subsidiary of Altron, has entered into a sale agreement with Nashua Mobile to purchase its 65,000 strong Cell C subscriber base for approximately R91.5 million.<\/p>\n
In April,\u00a0Reunert, the parent company of\u00a0 the mobile service provider Nashua Mobile, announced that it would dispose of its MTN and Vodacom subscriber bases saying that \u201cit is unlikely that this business would generate acceptable returns\u201d.<\/p>\n
The group said that the sale would generate a combined gross sum of R2.26 billion plus VAT.<\/p>\n
Nashua Mobile chief executive, Mark Taylor said that Nashua Mobile was set to wind down completely within the next six months.<\/p>\n
Altron said in a a SENS announcement on Monday (26 May), that the purchase consideration for the transaction will be subject to a formula based adjustment depending on various factors (including ARPU, churn and bad debts) associated with Nashua Mobile\u00b4s Cell C subscriber base.<\/p>\n
The purchase consideration, which can never exceed R95.75 million plus VAT, will be payable by Autopage to Nashua Mobile, 50% on the effective date and the balance after the expiry of the aforesaid six calendar month period.<\/p>\n
The transaction between Autopage and Nashua Mobile will be subject to unconditional approval of the Competition Authorities.<\/p>\n
Retrenchments at Altech Autopage<\/strong><\/a><\/p>\n Nashua Mobile drags on Reunert<\/strong><\/a><\/p>\n