Vocus Acquires Netgen
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A substantial chunk of fiber is changing hands down under. Vocus Communications has announced plans to acquire Netgen Networks in a deal worth about $500 million.
Nextgen had built a 17,000km fiber backbone across Australia with fiber into 1,100 buildings including 70 data centers.
They were also a 50% owner with Vocus on the ACS project building a subsea cable between Perth, Singapore, and Indonesia, which Vocus will take 100% possession of. And they were building the North West Cable system between Darwin and Port Hedland to the oil, gas, and mining industries as well, which will also be bought by Vocus.
The deal, which follows their recent purchase of M2, will see Vocus add substantial infrastructure muscle in an effort to better compete with Telstra, Optus, and TPG.
Vocus already has some 700km of fiber hooking up 1,300 buildings in Australia, as well as a more extensive 4,200km of fiber over in New Zealand.
Questions & Answers
Q.What is the total value of the acquisition deal between Vocus and Netgen?
What is the total value of the acquisition deal between Vocus and Netgen?
The acquisition deal, which will see Vocus take over Netgen Networks, is valued at approximately $500 million. This follows Vocus's recent purchase of M2.
Q.What infrastructure assets does Vocus gain in Australia through this acquisition?
What infrastructure assets does Vocus gain in Australia through this acquisition?
Vocus will acquire Netgen's 17,000km fiber backbone across Australia, which includes connections to 1,100 buildings and 70 data centers. They will also gain the North West Cable system between Darwin and Port Hedland.
Q.How will this acquisition change Vocus's ownership in the ACS subsea cable project?
How will this acquisition change Vocus's ownership in the ACS subsea cable project?
Vocus will gain 100% possession of the ACS subsea cable project, which connects Perth, Singapore, and Indonesia. Prior to the acquisition, Vocus was a 50% owner with Netgen on this project.