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Austar sells mobile business to M2 telecoms
Stuart Corner
Tuesday, 22 February 2011 10:47
Austar has sold its 15,000 strong mobile customer base to M2 Telecommunications' subsidiary, Southern Cross Telco for $2m in cash.
However, business is presently in decline. Austar has just reported its half year results, showing 14,675 mobile customers at 31 December 2010, down from 19,970 a year earlier.
The Austar mobile customers will be integrated into the established customer support operations of M2's Southern Cross Telco business over the coming months. M2's managing director and CEO, Vaughan Bowen, said: "Whilst only relatively modest in scale, this transaction represented an opportunity to cost-effectively expand our Southern Cross Telco business with the sizable, high quality Austar mobile customer base.
"Our Hobart-based customer operations team have considerable experience in supporting the telco requirements of regional Australia, having specialised in that market for more than a decade, which will ensure that the Austar Mobile customers are enthusiastically welcomed."
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