Wireless broadband company SkyNetGlobal has acquired Melbourne-based broadband internet services outfit Smart Apartments that targets the residential market for $500,000 in stock and 5000 apartments.
Smart Apartments – which trades as e-partments – has signed exclusive agreements with 14 apartment buildings and provisioned seven buildings with 200 subscribers paying an average of $70 per month, SkyNetGlobal said.
It had also signed a preferred supplier arrangement with Network Pacific Real Estate, which has access to 75 buildings.
Under the purchase agreement, SkyNetGlobal would acquire 100 percent of Smart Apartments' issued shares from existing shareholders for $500,000 through the issue of 6,978,367 SkyNetGlobal shares, the company said.
Smart Apartments' founders James Brader and Bill Apostolopoulos would stay with the company for three months 'to ensure that the business is successfully integrated with W Home.'
The company has no debt or liabilities and the transaction would be immediately cash flow positive for SkyNetGlobal.
Jonathon Soon, CEO of SkyNetGlobal said the business was an ideal fit with SkyNetGlobal's W Home business as both provide broadband solutions to apartment dwellers in large residential complexes.
The company said it now has a national coverage of more than 10,000 apartments.
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