Swoop sells Melbourne fibre project for $11M
- Swoop has signed a binding agreement to sell its wholly-owned subsidiary Luminet Fibre for $11 million in cash.
- The transaction eliminates all remaining capital commitments, and the company will use the proceeds to pay down debt.
- Management stated the sale allows the business to focus on its core consumer internet and mobile operations.
Swoop (ASX:SWP) signed an agreement to sell its Melbourne fibre network project to Xenith Infrastructure Group for $11 million.
The sale follows ongoing construction of the infrastructure asset, which requires capital expenditure to complete.
The transaction covers a 282km network and is expected by the company to close in late 2026.
The company stated that the net proceeds will be substantially applied towards the repayment of existing debt facilities.
Following the announcement, the Swoop share price was up at $0.087.
The digital infrastructure developer buying the asset operates fibre networks across the Asia-Pacific region.
Swoop focuses on providing consumer national broadband network services and mobile virtual network operations throughout Australia.
