The deal sees Access Digital Networks being purchased for $10.4 million and Comlinx bought for $12.8 million.
The acquisitions by Over the Wire are fully funded by an institutional placement of $21.5 million priced at $4.30 per share and existing cash, with completion of the acquisitions expected by the beginning of November.
Access Digital Networks is a South Australia-based provider of business grade telecommunications services, and Brisbane-based Comlinx is a provider of IT managed solutions offering cross-sell opportunities to the Over the Wire group.
The company also says the acquisition of Access Digital Networks accelerates its geographic expansion into South Australia, while the acquisition of Comlinx provides its customers with a broader product offering and additional value added services that can facilitate the pull through of revenue from its network and voice divisions.
Over the Wire managing director Michael Omeros said, “We are very excited to be able to welcome Access Digital Networks and Comlinx to the Over the Wire group. Access Digital Networks and Comlinx are high quality businesses with quality teams that will integrate well with Over the Wire.
“Access Digital Networks expedites our geographic expansion plans into South Australia whilst Comlinx introduces some complimentary new offerings via intelligent networks, contact centre / customer experience and cyber security solutions, which will be of great benefit to our existing customers.
“We will continue to target 20% year on year organic growth, together with achieving very high levels of customer retention."