Autopage Cellular is to buy Nashua Mobile’s Cell C subscriber base of approximately 65 000 users, for about R91,5-million.
The purchase consideration for the transaction will be subject to a formula-based adjustment depending on various factors, including ARPU (average revenue per user), churn and bad debts, associated with Nashua Mobile’s Cell C subscriber base between the date of fulfilment or waiver of the last of the conditions precedent to the transaction and the expiry of a six calendar-month period thereafter.
The purchase consideration, which can never exceed R95,75-million plus VAT, will be payable by Autopage to Nashua Mobile, 50% on the effective date and the balance after the expiry of the six-month period.
The transaction is subject to certain conditions precedent, which will include, among others, the unconditional approval of the competition authorities.
