M2 Group Limited (ASX:MTU)
have announced new acquisitions that will lift underlying earnings per share by 15 per cent.
The fast-growing communications company will pay $245 million for Call Plus Group, New Zealand’s third largest Internet Service Provider. Call Plus is expected to add around $45 million to earnings.
Call Plus consists of 400,000 services as well as the ‘Slingshot’ and ‘Orcon’ brands.
The deal is on a debt-free, cash-free basis and will be funded through new fully underwritten multi-year loan facilities.
M2 Group reported a net profit of $38.5 million for the first six months of the 2015 financial year.