Federal Court signs off on TPG's iiNet takeover

iiNet to cease trading on ASX on 24 August

The Federal Court today signed off on TPG's takeover of iiNet.

iiNet shares will be suspected from trading on the ASX on 24 August.

The Australian Competition and Consumer Commission yesterday revealed it had reversed its view on the merger, announcing it would not oppose the takeover.

Earlier in the year the ACCC said its preliminary view was that deal would lead to a substantial lessening of competition in the retail fixed broadband market, "potentially resulting in higher prices and/or degradation of the non-price offers available in the market".

The ACCC said yesterday that although the acquisition may reduce competition in that market, it was unlikely to be a "substantial" lessening of competition, which would have resulted in the organisation taking action under section 50 of the Competition and Consumer Act.

The final TPG offer for iiNet received overwhelming support from iiNet shareholders, as well as the unanimous backing of the ISP's board of directors.

The acquisition will make TPG the number two broadband provider in Australia by subscriber numbers with more than 1.7 million broadband customers and combined revenues of $2.3 billion and EBITDA of $654 million.

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