Digital Republic specialises in an Internet of Things-based digital service for both personal and commercial customers. The company provides a variety of mobile Internet tariff plans for smartphones, tablets, LTE routers, or trackers. The tariffs are consistently assessed based on speed.
Mobile virtual network provider Digital Republic will be acquired by Switzerland-based mobilezone, which will then enter the IoT industry. Independent Swiss and German telecoms expert mobilezone trades its registered shares on the SIX Swiss Exchange. Its offer covers the full spectrum of mobile phones as well as tariff options for digital TV, Internet, and landline and mobile telephony from all suppliers.
A spokeswoman for mobilezone said that by acquiring Digital Republic, they are expanding their variety of products and services while also solidifying their position as a leading supplier of telecommunications services. A spokesperson of Digital Republic further states that the company would take advantage of the numerous synergies with mobilezone to pursue prospects in the Swiss telecom sector.
The acquisition of Digital Republic supports a number of mobilezone group’s strategic focuses. On the one hand, mobilezone is expanding its customer base by entering the new market of services related to the “Internet of Things.” On the other side, the service industry will offer a wider variety of services and increase its recurring revenue.
The package comprises basic mobile 5G Internet for the home router or digital nomads, as well as full mobile phone subscriptions with data consumption, telephony, and roaming. Additionally, the business provides adaptable and simple-to-scale options for corporate clients in addition to customised solutions for their IoT devices. Within the mobilezone network, Digital Republic will continue to be led by its original founders.
The agreement between the parties prohibits disclosure of the transaction’s financial specifics. The goal is to finish by early January 2023. Own funds and preexisting credit lines are used to finance the purchase price. The Board of Directors continues to intend to adhere to the current dividend policy and to distribute 60 to 75 percent of net income as dividends to shareholders.
Furthermore, any extra cash below a net debt/EBITDA ratio of 1 will be distributed to shareholders as special dividends or share buybacks. The year 2023 will see a suspension of the share buyback programme from 2022 to 2025. At the Annual General Meeting on April 5, 2023, a dividend of CHF 0.90 (CHF 0.84 last year) per registered share will be recommended.
- SEO Powered Content & PR Distribution. Get Amplified Today.
- Platoblockchain. Web3 Metaverse Intelligence. Knowledge Amplified. Access Here.
- Source: https://iot.electronicsforu.com/content/whats-new/news-whats-new/mobilezone-purchases-digital-republic-to-enter-the-internet-of-things-market/