Last-mile broadband specialist snaps up Driffield company for £5m Magazine
Satellite Solutions Worldwide, a rural and last mile broadband specialist, has acquired Driffield-based broadband provider, Quickline Communications for £5 million.
The acquisition will be funding by a mix of cash and shares – £3 million and £2 million respectively.
Satellite Solutions will invest a further £2 million into Quickline to capture additional growth opportunities and fund working capital.
It said the acquisition of Quickline will bolster its EBITDA margin, as well as further diversifying its revenue base and broadening its last-mile broadband tech offering.
The company announced a proposed placing of new shares to raise gross proceeds of approximately £8.1 million.
This would fund the acquisition of Quickline and future bolt-on acquisitions.
For the year ending 31 March 2017, Quickline generated revenue of £2.3 million and EBITDA of £0.3 million.