Vocus Communications Limited
(ASX:VOC) has continued on a rapid expansion pathway announcing a merger with M2 Group Limited
(ASX:MTU).
The amalgamation will produce a $3 billion trans-Tasman telco company headed by M2 CEO Geoff Horth.
The boards of both entities have unanimously supported the all-scrip merger which will see M2 shareholders receive 1.625 Vocus shares for each M2 share.
The new company will realise up to $40 million in cost synergies and expects a combined revenue of $1.8 billion with profit of approximately $370 million for the 2016 financial year.
Vocus Communications reported a net profit of $19.85 million for the 2015 financial year.
