StarHub has just announced this morning that it will acquire a majority interest in a new entity which will hold MyRepublic’s broadband business in Singapore, providing broadband services for residential and enterprise customers.
StarHub to acquire 50.1% stake in MyRepublic’s broadband business in Singapore to drive long-term synergies.
Named MyRepublic Broadband Pte Ltd, the new entity has been incorporated by MyRepublic to hold MyRepublic’s Singapore broadband business.
The acquisition will materialise commercial and operational synergies, as well as plans to strengthen both parties’ customer offerings and long-term business outlook.
The partnership creates an opportunity for StarHub to participate in MyRepublic’s regional growth and is an important milestone in MyRepublic’s IPO journey.
StarHub’s total investment will be up to $162.8 million, with an initial consideration of $70.8 million for 50.1% shares of MyRepublic Broadband Pte Ltd and a deferred consideration of up to $92 million should future financial performance matrices are met.
The proposed transaction will consolidate and strengthen StarHub’s position in the Singapore broadband market, expanding its market presence to 40% and steering long-term business growth.
MyRepublic will retain the remaining 49.9% and its senior management team and its brand identity post-acquisition.
More details below from the press release.
