Federal Court approves NetComm acquisition vote in June

Federal Court approves NetComm acquisition vote in June 1

The Australian Federal Court has approved NetComm Wireless’ shareholder vote on a AU$161 million acquisition by Casa Systems, with the company also announcing that its independent assessor has recommended the transaction be approved.

“The independent expert has assessed the full underlying value of NetComm at between AU$0.85 and AU$1.08 per NetComm share. The scheme consideration of AU$1.10 cash per share is above this range,” the Australian networking equipment vendor, which is a supplier for the National Broadband Network (NBN) company, said.

The vote is set to take place on June 7 at 10am AEST, with the second court date for approval of the scheme scheduled for June 12. The scheme would then be implemented on June 25.

“In our opinion, the scheme is fair and reasonable and in the best interests of NetComm shareholders in the absence of a superior proposal,” the independent expert added in its report.

“The scheme consideration of AU$1.10 cash per share slightly exceeds the top end of our assessed value range for NetComm shares on a 100% controlling interest basis. Thus, in our view, NetComm shareholders are being paid an appropriate price to compensate them for the fact that control of NetComm will pass to Casa Systems if the scheme is approved.”

NetComm’s directors are also maintaining their unanimous recommendation that the scheme be approved.

“NetComm benefits from Casa Systems’ complementary product set, engineering expertise, and sales infrastructure in several markets,” the company said on Friday.

“NetComm brings its global development of fixed broadband and IIoT products, fixed-wireless, and distribution point broadband solutions, and service delivery approach.”

NetComm had first announced the potential acquisition in February, which would see the company become a wholly owned subsidiary of Casa Systems.

Casa Systems chair and CEO Jerry Guo at the time said the purchase would allow his company to add fixed-wireless solutions to its portfolio, as well as diversify its revenue streams and geography.

As well as supplying to the NBN, NetComm also produces industrial Internet of Things (IIoT) devices, delivers its fixed-wireless technology to AT&T in the United States, and has worked with BT on fibre-to-the-curb technology.

For the first half of FY19, NetComm announced revenue of AU$94.3 million, up 6.5% on last year, and earnings before interest, tax, depreciation, and amortisation (EBITDA) of AU$8.3 million, a drop of AU$0.9 million compared to the same period last year.

The company’s full-year FY18 EBITDA was AU$20.5 million on revenue of AU$182 million.

Previous Coverage

NetComm Wireless backs selling itself to Casa Systems for AU$161 million

American company to offer a 53 percent premium to turn Australian company into a subsidiary.

NetComm Wireless launches industrial IoT device

NetComm’s new IIoT device enables NB-IoT and Cat-M1 connectivity for low-power, low-bandwidth things.

NetComm Wireless profit up 500 percent as it eyes 5G and FttC globally

NetComm Wireless has announced net profit of AU$8 million on revenue of AU$181 million, pointing to future growth across fixed-wireless, fibre to the curb, 5G, and industrial IoT.

About the author

E-Crypto News was developed to assist all cryptocurrency investors in developing profitable cryptocurrency portfolios through the provision of timely and much-needed information. Investments in cryptocurrency require a level of detail, sensitivity, and accuracy that isn’t required in any other market and as such, we’ve developed our databases to help fill in information gaps.

Related Posts

E-Crypto News Executive Interviews

Crypto Scams

Cryptosoft
Cryptosoft Trading Bot Review
June 27, 2022
The Largest Crypto Scams Of 2022 (So Far)
The Largest Crypto Scams Of 2022 (So Far)
June 14, 2022
Scammers
How Do Scammers Entice Their Prey?
May 10, 2022
Beanstalk Farms Loses $80M In A Massive DeFi Governance Flash-Loan Hack
Beanstalk Farms Loses $80M In A Massive DeFi Governance Flash-Loan Hack
April 23, 2022
Prove
Joon Pak Head of Crypto at Prove talks to Us about Crypto Fraud And More
April 11, 2022

Automated trading with HaasBot Crypto Trading Bots

Blockchain/Cryptocurrency Questions and Answers

Is The Crypto Market Combating A Lehman Brothers Moment?
Is The Crypto Market Combating A Lehman Brothers Moment?
June 30, 2022
Russia
Roundtable Interview-What is the Effect of The Russia-Ukraine War on Cryptocurrency Prices?
March 4, 2022
GamStop
How Does Bitcoin Casino Work + 2021 Beginner’s Guide
November 8, 2021
Cryptocurrency
How to Buy and Sell Cryptocurrency
November 8, 2021
What Are Bitcoin Futures And How Will They Work In 2022?
November 4, 2021


CryptoCurrencyUSDChange 1hChange 24hChange 7d
Bitcoin19,205 0.15 % 3.96 % 3.90 %
Ethereum1,039.1 0.14 % 4.75 % 1.14 %
Tether1.001 0.08 % 0.10 % 0.02 %
USD Coin1.002 0.07 % 0.24 % 0.18 %
BNB215.31 0.47 % 0.74 % 0.35 %
Binance USD1.004 0.45 % 0.35 % 0.25 %
XRP0.3203 1.48 % 1.72 % 0.78 %
Cardano0.4514 0.39 % 2.41 % 1.73 %
Solana32.52 0.03 % 3.12 % 4.98 %
Dogecoin0.06589 0.34 % 4.02 % 6.64 %

bitcoin
Bitcoin (BTC) $ 19,165.82
ethereum
Ethereum (ETH) $ 1,035.61
tether
Tether (USDT) $ 1.00
usd-coin
USD Coin (USDC) $ 1.00
bnb
BNB (BNB) $ 214.24
binance-usd
Binance USD (BUSD) $ 1.00
xrp
XRP (XRP) $ 0.315782
cardano
Cardano (ADA) $ 0.448918
solana
Solana (SOL) $ 32.39
dogecoin
Dogecoin (DOGE) $ 0.065465