As part of the deal, approximately 130,000 Origin broadband customers will be migrated from Origin’s current network provider to Superloop, increasing Superloop’s total customer numbers to approximately 560,000.
“Securing the Origin contract is a key progress milestone in Superloop’s three-year growth strategy,” said Superloop CEO, Paul Tyler.
“It delivers step-change growth in our customer numbers and cements our market position as a leading wholesale broadband and backhaul provider to two of Australia’s largest energy retailers.”
To strengthen the mutual commitment of Superloop and Origin in driving the expansion of their broadband customer base, the agreement incorporates Superloop equity.
Initially, Origin will receive 9,847,690 shares in Superloop, with an additional issuance of 9,847,690 shares upon the migration of 130,000 customers, and potentially up to $30 million worth of Superloop shares contingent upon reaching specified customer growth targets.
“Australia’s energy retailers are investing heavily in product bundling, and we’re very pleased to be the partner of choice for reliability, service, and value,” says Tyler.
The contract is anticipated to contribute significantly to Superloop’s financial standing, projecting an annualized EBITDA increase surpassing $19 million once the migration process reaches its conclusion.
