It was always on the cards, but iiNet’s move to snap up Internode three days before Christmas caught almost everyone on the hop. The Perth-based internet service provider’s interest in adding Internode to its fold was never in doubt but there was a question mark over whether Internode boss Simon Hackett was ever going to acquiesce to a deal.
That question was answered yesterday when iiNet boss Mike Malone shook hands with Hackett on a $105 million deal that will see Internode become part of Malone’s sprawling ISP empire. The deal, a combination of cash and scrip, will let iiNet add 190,000 subscribers to its customer base and 260,000 active services. It will also see Hackett receive a placement of 12 million shares, adding up to a 7.5 per cent stake, in iiNet. The acquisition is expected to boost iiNet’s fiscal 2012 revenue by about $180 million and will be completed by February 29.
