IT News — M2 Group chief executive Geoff Horth is on the prowl for potential acquisitions in both the telco and energy markets in the wake of TPG’s approved takeover of iiNet. The deal, described as “bittersweet” by iiNet founder Michael Malone, will see Optus, Telstra and TPG/iiNet claim a combined total of around 80 percent of the Australian broadband retail market.
IT News — iiNet founder and former chief executive Michael Malone feels bittersweet about TPG’s takeover of his internet service provider, after the deal was approved by the ACCC yesterday. iiNet will now cease trading as part of the S&P/ASX 200 Index after the close of trading on August 24. The $1.56 billion acquisition of iiNet will see TPG overtake Optus as the country’s second-largest provider of retail broadband services.
IT News — The competition regulator’s approval of TPG’s proposed acquisition of iiNet today will mean Telstra has a new fixed-line rival nipping at its heels. The ACCC was able to overcome its initial concerns about the effect the merger would have on competition to give the buyout the official stamp of approval. The $1.56 billion takeover of iiNet will allow TPG to leapfrog Optus to become the country’s second-largest provider of retail broadband services.
IT News — Australia’s telecommunications sector is continuing its crusade against the government’s proposed industry security reforms, with submissions to the draft legislation revealing universal opposition to the suggested changes. The Attorney-General’s Department released its ‘telecommunications sector security reforms’ in June. The sweeping draft laws would see telcos forced to hand over sensitive information about network changes and procurement plans in order to address national security risks.
IT News — Five of Telstra’s rivals have come out strongly against the Department of Communications’ support for a hike in the regulated wholesale prices Telstra can charge access seekers for its copper network. The Competitive Carriers Coalition, comprising telcos Vodafone, Macquarie Telecom, iiNet, Nextgen Networks and MyNetFone today took umbrage at a submission to the ACCC’s enquiry on the issue written by Communications secretary Drew Clarke.
IT News — iiNet broadband customers in New South Wales had a rough ride over the weekend, facing long service interruptions as their internet provider struggled to mitigate against a large distributed denial of service (DDoS) attack. One iiNet representative explained on Saturday via the Whirlpool broadband user forum that the outages were “due to a large volume of external traffic directed towards iiNet Group service”.
IT News — An unspecified hardware failure created disruption for iiNet broadband customers in New South Wales and affected its 3G mobile data services nationwide throughout yesterday. The fault started after midday AEST yesterday as iiNet customers were disconnected from their internet service.
IT News — iiNet is now “over the hump” of the capacity issues it faced with the introduction of Netflix, with further network improvements to fix remaining issues to be rolled out over the next two months, according to chief technical officer Mark Dioguardi. Dioguardi cited Netflix’s Australian ISP speed index figures as an example how much progress iiNet has made in resolving its capacity issues, especially given the company offers its customers unmetered use of the streaming video service.
IT News — iiNet has secured a multi-year infrastructure-as-a-service deal with the South Australian government that will see agencies source on-demand computing out of iiNet’s Adelaide-based data centres. The internet service provider – through its Internode subsidiary – will deliver its ‘gCloud’ branded service to the Department of Premier and Cabinet, the Department of Planning Transport and Infrastructure, and the Department of Communities and Social Inclusion under the new deal, with opportunities to expand the deal to other state entities in the future.
IT News — Carwardine joined the Navy at 15 and spent the next 15 years on Naval destroyers and in submarines before deciding to pack it all in to write code for Qantas. Turns out being underwater and being a father were not compatible occupations. But there are a few parallels between manning a military vessel and heading up IT and network operations for a multi-channel telecommunications group.
TPG inched closer to attaining its hard-fought goal of buying out rival internet service provider iiNet yesterday, but it faces a nerve-wracking wait to learn the deal’s regulatory fate. iiNet and TPG yesterday registered their scheme booklet with the Australian Securities and Investment Commission (ASIC) after an independent reviewer found the $1.56 billion share and cash-based offer to be “fair, reasonable and in the best interests of shareholders”.
Australia’s competition watchdog has raised concerns that the takeover of internet service provider iiNet by rival TPG would substantially lessen competition in the market and negatively affect customer service. The ACCC today outlined its preliminary stance on TPG’s proposed $1.56 billion acquisition of iiNet and approached the market for views on the effect the takeover would have on both the industry and end users. TPG’s acquisition of iiNet would merge two of the five biggest fixed broadband providers into the country’s second largest behind Telstra.
SYDNEY: Australian Internet provider iiNet Ltd has urged more than 30,000 customers to change their passwords after claims emerged online that hackers had been attempting to sell personal information stolen from one of the firm’s databases. News of the potential data breach at Australia’s third-largest web provider first emerged on Twitter, where it was alleged an unnamed hacker was offering to sell a database that included client passwords, home addresses and telephone numbers.
iiNet is planning to offer free legal advice to customers alleged to have shared infringing copies of Dallas Buyers Club online. The internet service provider yesterday said it was working with an unnamed law firm that has offered to provide pro-bono services to alleged copyright infringers. iiNet declined to provide further detail. iiNet’s financial controller Ben Jenkins also said the ISP will alert customers whose details are handed over to the owners of the Dallas Buyers Club film.
iiNet and several other internet service providers have been ordered to pay most of the court costs for the owners of the Dallas Buyers Club film for being “adversarial” in the proceedings. Justice Perram today ruled that by putting “nearly everything in issue”, iiNet, Internode, Dodo, Amnet, Adam Internet and Wideband Networks had adopted an adversarial stance and therefore should be required to pay a significant portion of DBC LLC’s costs.
TPG has upped its bid for iiNet to $1.56 billion and offered shareholders a choice of shares or cash, gaining the iiNet board’s support for its new bid over that of rival M2. iiNet last week gave TPG a chance to increase its March $1.4 billion all-cash offer after receiving a $1.6 billion scrip-based bid from M2. Today iiNet announced TPG had boosted its offer to $9.55 per iiNet share, including a $0.75 special dividend.
iiNet’s board has today given TPG an opportunity to raise its $1.4 billion bid for the company to either match or better rival M2’s $1.6 billion offer. M2 sparked a potential bidding war for iiNet this week when it revealed it had exceeded TPG’s March offer with an all-scrip $1.6 billion bid for the in-demand internet service provider. The deal would see iiNet shareholders receive 0.803 of an M2 share per iiNet share and a 75c special dividend.
M2 CEO Geoff Horth has promised to maintain the iiNet brand as a standalone operation and preserve its much-touted customer advocacy should its $1.6 billion offer for the company be accepted. The ISP today made a play for its rival following TPG’s March all-cash offer to take over iiNet for $1.4 billion. In its own offer, made public today, M2 took heed of shareholder concerns about the future of iiNet’s customer service and advocacy should the offer from low-cost operator TPG be accepted.
Internet service provider M2 Telecommunications has sparked a bidding war for iiNet, coming in with a higher, all-scrip offer than TPG’s March offer of $1.4 billion. M2’s play at iiNet today offered $11.37 per share, giving the company an enterprise value of $2.25 billion. Excluding $1.37 per share of estimated synergies, the deal sits around $1.6 billion. TPG in March offered to take over iiNet in an $1.4 billion all-cash deal. M2 today said it would operate iiNet as a standalone brand, and had extended an offer for two iiNet directors to join its board, should the deal go through.
The owners of the Dallas Buyers Club film want iiNet and a number of other internet service providers to hand over the details of 4700 alleged copyright infringers within two weeks. The parties were back in court today following Justice Perram’s ruling earlier this month that iiNet, Internode, Dodo, Amnet, Adam Internet and Wideband Networks hand DBC LLC the customer details of those the rights holder claims shared its film online without authorisation.