Swoop Holdings' Acquisition of Vonex Stake

Swoop Holdings Limited (ASX:SWP) has confirmed the acquisition of approximately 16.99% of the issued ordinary shares in Vonex Limited (Vonex) at an average price of $0.04 per share, totaling approximately $2.45 million. The acquisition was funded from Swoop's existing cash resources.

Executive Commentary on Swoop's Acquisition

Swoop Holdings Limited (Swoop) has acquired a 16.99% stake in Vonex Limited and intends to vote against the scheme of arrangement proposed by Maxo Telecommunications Pty Ltd (MaxoTel Scheme). Swoop believes its proposal represents superior value to the MaxoTel Scheme and stands to create significant value for both Vonex and Swoop shareholders. Swoop has submitted a draft scheme implementation deed to Vonex and is pleased to confirm that its existing financier, Westpac, has commenced a credit approval process to provide committed funding for the acquisition of Vonex.

Summary of Swoop's Acquisition and Outlook

Swoop Holdings Limited's acquisition of a 16.99% stake in Vonex Limited at $0.04 per share demonstrates its commitment to pursuing its offer for Vonex. Swoop's proposal is positioned as a superior value proposition compared to the MaxoTel Scheme, aiming to create significant value for both companies' shareholders. The submission of a draft scheme implementation deed and the initiation of a credit approval process by Westpac indicate Swoop's determination to proceed with the acquisition. The market's positive response to the Swoop deal further underscores the potential value of the combined group, reflecting confidence in Swoop's proposal. Swoop's proactive approach and strategic positioning suggest a focused pursuit of its ambitions in the telecommunications sector.