Mon, 26 Apr 2021 | BUSINESS SALE
BigBlu Broadband has sold its stake in Quickline Communications to Northleaf Capital Partners in a deal that could reach up to £49 million.
BigBlu said that the deal offered an “excellent return for shareholders”, with the sale potentially rising to 5.8x the firm's original investment in Quickline and offering both a continuing interest in the future of the business as well as a considerable immediate cash return.
The sale includes a £41.2 million cash consideration, with £31.1 million of this payable on completion and £10.1 million payable through a deferred consideration subject to performance-related goals being met by 31 March 2022 or 31 May 2022.
The remainder will be settled through £7.4 million in loan notes, £5.6 million payable on completion, with £1.8 million in deferred consideration. The loan notes come with options to convert into partial equity which, if exercised, would see BigBlu retain an 8 per cent stake in Quickline.
BigBlu CEO Andrew Walwyn commented on the sale: “The management team has extensive experience in the sector and a track record of building attractive assets and delivering shareholder value.”
“Through the sale of Quickline, Bigblu Broadband has once again demonstrated its ability to maximise the value of its interests in the high growth broadband connectivity market. This is now the second time that the Board has realised excellent returns for shareholders.”
Northleaf Head of Infrastructure Activities UK Roderick Gadsby added: We are pleased to have agreed to acquire Quickline as the company is an excellent fit with our communications infrastructure strategy and our broader portfolio of mid-market infrastructure assets in select OECD countries.”
“We look forward to working closely with the management team as they execute the business plan and accelerate the delivery of gigabit capable fixed wireless and FTTP services to underserved rural regions of the UK.”
Find businesses for sale here.
If you are looking for an exit, we can help!
This UK financial risk software company, dedicated to the SME market, has achieved remarkable growth through bootstrapping, resulting in an impressive turnover and strong net cash flow.
Explore an established engineering firm offering innovative software engineering solutions and digital transformation services, backed by an outstanding reputation and industry accreditations.
The company provides a proprietary software platform that helps businesses manage their business-critical communications, such as invoices, statements, policy updates, arrears notifications, and contract notes.
Please choose your settings for this site below. For more information please read our Cookie Policy
These cookies are necessary for our website to function properly and provide you with access to all features.
These are analytics cookies that help us to improve the way our website works.
These are used to improve the functional performance of the website and make it easier for you to use.