Telstra to purchase ISP Adam Internet, in a surprise move.
The acqusition will also include Adam’s Adelaide data centre and fibre assets.
The acquisition is still subject to approval by ACCC, however. The value of the deal was not disclosed.
The purchase of the South Australia Internet provider is aligned with Telstra’s strategic priorities to grow customers and build new businesses, Telstra’s Innovation Products and Marketing Group MD, Kate McKenzie said.
“Adam is a respected brand with a loyal customer base in South Australia. It’s a great online, low cost business that lets customers purchase and manage their own services. This model offers opportunities for growth, particularly for consumers wanting online sales and support.”
Telstra will retain the Adam brand and run the company as a stand-alone subsidiary of Telstra. Adam customers will not experience any change to their service following the Telstra takeover.
Adam’s Executive Chairman, Mr Greg Hicks said Adam and Telstra’s shared customer service philosophy was a pivotal reason behind the move.
Hicks will remain as a consultant following the completion of the sale. Existing employment arrangements for current staff would not be impacted by completion of the sale.
“We’ve built a great business with a great team running it and we’ve got a bright future,” Hicks added.