Vonex and Maxo Telecommunications agree to revised scheme consideration

Telecommunications innovator Vonex Limited (ASX:VN8) and Maxo Telecommunications Pty Ltd have agreed to increase the Scheme Consideration payable from 3.75 cents to 4.19 cents per Vonex share, 100% payable in cash.

Vonex Board's Recommendation and Competing Proposal

The Vonex Board unanimously recommends that shareholders vote in favor of the Scheme of Arrangement with MaxoTel. The Board also expressed that the indicative offer from Swoop Holdings Limited is not considered superior to the improved MaxoTel offer. The Board highlighted concerns with Swoop's offer, including conditional credit approval, a lower offer price, and the combination of cash and shares in Swoop.

Outlook and Conclusion

Vonex anticipates releasing a supplementary Scheme Booklet reflecting the revised scheme consideration and updated scheme timetable. MaxoTel reaffirms its commitment to the transaction and believes the increased consideration is compelling and far superior for Vonex shareholders. The company aims to prepare a deed of variation to reflect the increased consideration and seeks Vonex's acceptance by the specified deadline. The Board continues to recommend the Scheme of Arrangement with MaxoTel, emphasizing the certainty of value and the opportunity for shareholders to sell their shareholdings for cash at a higher price.