TPG has announced that it will move to acquire iiNet.
The company announced this morning in a statement issued to the ASX that it would move to acquire the shares in iiNet that it does not already own. Currently TPG owns 6.25 per cent of the ISP.
TPG will pay $8.60 per iiNet share, pegging the value of the transaction at approximately $1.4 billion.
The acquisition will boost TPG's broadband customer base to more than 1.7 million and "delivers scale benefits in an NBN environment," a TPG investor presentation said.
TPG has a "leading value-based offering" while iiNet "offers a more premium, customer service-led offering with award winning products and servcies," the presentation said.
iiNet has 975,000 broadband customers including 60,000 NBN customers. The ISP has more than 2500 staff.