Vocus completes dark fibre purchase

Wholesale telecom operator Vocus Communications (ASX:VOC) has completed the $4m acquisition of Digital River Networks' dark fibre assets and customers

Wholesale telecom operator, Vocus Communications (ASX:VOC), has closed the purchase of a dark fibre telecom operator for nearly $4 million.

Vocus has now acquired the assets of Digital River Networks, including 59km of dark fibre primarily in the Melbourne and Sydney CBDs.

Digital River's dark fibre and metro ethernet services customer contracts have also been transferred to Vocus.

Vocus said it plans to further invest in the network to expand its reach. The company expects the deal to be earnings accretive in the second half of FY12.

The buy is being funded through existing cash reserves, Vocus said.

Vocus purchased the data centre business of E3 Networks for $5.9 million in a deal completed in November.

The company conducted a $13.1 million placement in March, and a $1.9 million share purchase plan in April.

VOC shares grew 5.77 per cent on Monday's to $2.750.

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Tags telecomsNetworkingacquisitionsVocus CommunicationsDigital River Networks

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