The Infocomm Media Development Authority (IMDA) has approved StarHub's acquisition of MyRepublic Broadband. IMDA said in a statement that the proposed consolidation will not substantially lessen competition in any telecommunication market in Singapore, and will not harm public interest.
StarHub first proposed to acquire a 50.1% stake in MyRepublic Broadband in September last year for SG$162.8 million, with an initial consideration of SG$70.8 million and a deferred consideration of up to SG$92 million should future financial performance matrices are met. Upon completion of the acquisition, MyRepublic Broadband will be a StarHub subsidiary. The transaction is a mix of equity and debt and will be funded using StarHub’s internal cash resources.
In addition to equity, StarHub has agreed to refinance SG$74.2 million of debt for MyRepublic for a period of three years, on completion of the transaction.
Meanwhile, MyRepublic will retain the remaining 49.9% stake in its broadband business and its senior management team, helmed by co-founder and CEO Malcolm Rodrigues, will continue to lead MyRepublic Broadband. MyRepublic's broadband business was a new entity incorporated by MyRepublic at the time, and offers broadband services for residential and enterprise customers.
StarHub said in a statement then that MyRepublic's broadband customer base will stand to gain access to enhanced offerings from its customer and enterprise business groups, including the growing suite of products and services offering connectivity, OTT, cloud gaming and other experiences. The partnership would also create mutually beneficial opportunities through scale and synergies – in terms of joint go-to-market opportunities, future wholesale offerings, and cost savings.
The acquisition also comes a month after MyRepublic appointed Jeannie Ong as group chief investor relations. She was formerly chief strategic partnership officer at StarHub. Ong is currently responsible for establishing and maintaining strong relationships with investors and stakeholders, with a view of leading MyRepublic to an IPO in the near future, as well as the corporate communications function.
Separately, StarHub nabbed the exclusive broadcast rights in Singapore for the English Premier League last month, breaking a 12-year streak by rival company, Singtel. The broadcast rights will last for the next six years and will start for the upcoming 2022/2023 season that will begin in August. According to StarHub, it will be rolling out open, agile, and flexible access to all its customers, making hugely popular matches more accessible and affordable for Singaporeans. All 380 matches will be screened at StarHub TV+ and full pricing details will be revealed in June this year.
Aside from airing the Premier League matches, the telco company added that fans can also look forward to enjoying a richer and more interactive user interface. The new interface will have features such as Party Watch, split screen viewing and performance statistics, among others.
Photo courtesy: 123RF
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