Telstra has completed the acquisition of Digicel Pacific Limited, which operates in six markets in the South Pacific including Papua New Guinea, Fiji, Samoa, Vanuatu, Tonga and Nauru.
The transaction values Digicel Pacific at up to US$ 1.85 billion, inclusive of a three year, US$ 250 million earn-out, equating to approximately 8.3 times DPL's adjusted earnings before interest, tax, depreciation and amortisation of approximately US$ 222 million in the year ended March 31, 2021.
Telstra's bid was supported with funding from the Australian Government, through Export Finance Australia.
Commenting, Denis O'Brien, Digicel Founder and Chairman, said: "Having established our Pacific operations as a business start-up in 2005, we depart with enormous pride in a team that has made affordable best-in-class communications available to more than 10 million people across six of the most exciting economies in the region. I am deeply grateful to all our colleagues who contributed to this success and in particular, to our 1,700 staff in the Pacific who I know will continue to represent the Digicel brand with pride under new owners Telstra. We wish them every continued success for the future."
Commenting, Oliver Coughlan, Group Chief Executive, said: "Until 2020 I was privileged to serve as CEO of our Digicel Pacific operations over many years and to work with exceptional people at this highly performing, high growth business. They retain our appreciation and friendship. Post this transaction, Digicel is well positioned to support continuing growth in our well-invested networks in our 25 markets in the Caribbean and Central America."
https://www.digicelgroup.com/en.html
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