TELECOMMUNICATIONS

Today, up and coming telco company Vonex (ASX:VN8) announced an agreement to acquire Queensland based telco OntheNet, adding ~$15M in recurring revenue and ~$2M in EBITDA.

VN8 is a small cap telco that provides cloud-based, telecommunication solutions to Australian small and medium enterprises (SME). The company posted $10.5M in revenue for the quarter, up 81% from a year earlier, marking VN8’s second consecutive quarter of record revenue as customer numbers continued to grow across all divisions.

Our small cap telco investment Vonex (ASX:VN8) has been on an acquisition shopping spree, gobbling up 3 other telcos over the past 18 months. VN8’s acquisition strategy is a simple one that can be very effective in capturing market share and accelerating growth.

Today, VN8 provided an update on the integration of its latest and largest acquisition — the $31M Direct Business purchased from MNF Group, the integration is progressing well as the companies combine into one - and the growth announced today is impressive.

Today Vonex Ltd (ASX: VN8) announced the successful integration of its last acquisition, hitting 45,000 PBX users and growth of SME customers and whitelabel offerings.

Vonex Limited (ASX: VN8) has released its interim financial report for the FY21 half year. Accompanied by a letter from the Chairman, the report highlights the company’s achievements over the six months and provides an outlook for the second half of the financial year.

Roblox is planning a US listing, which was slated for this month after being pushed back from December as the company weighed up whether to IPO or DPO. The DPO has been pushed back again after the Securities and Exchange Commission raised concerns about how Roblox recognises its revenue from Robux.

Vonex Limited (ASX: VN8) announced today that it has signed a multi-year wholesale agreement with Orange Business Services, the global enterprise division of the $26.2BN capped Orange Group (EPA: ORA).

When we introduced award-winning telecommunications service provider Vonex Ltd (ASX:VN8) as our latest portfolio addition, it was on the back of an impressive and growing Annual Recurring Revenue (ARR) base. Today, Vonex announced its ARR will continue to grow via the acquisition of telecommunications Nextel justifying our position in the company.

Vonex Limited (ASX: VN8) has today announced its intention to acquire Nextel’s business and operations as a going concern. The acquisition will provide an immediate boost of approximately $1 million to Vonex’s base of annualised recurring revenue.

Telecommunications service provider and innovator Vonex Limited (ASX: VN8) has provided a positive update regarding continued growth across the Company’s Retail and Wholesale divisions.

Recurring revenue, facilitated by the acquisition of 2SG, has provided Vonex with forward earnings predictability. The 2SG acquisition cannot be underestimated, having provided Vonex (ASX: VN8) with substantial sales momentum.

After following the story for a while, and having familiarised ourselves with management and the company, we have decided to take a long-term position in Vonex (ASX: VN8).

Vonex (ASX: VN8) demonstrated an 88% increase in annualised recurring revenue during fiscal 2020 to $16.4 million. The acquisition of 2SG has also been one of the company’s key achievements.

PAC Partners believes there is significant share price upside for Vonex, setting its price target at 20 cents per share

Vonex Ltd (ASX:VN8) shares traded 9% higher in response to a strong June half which featured outstanding growth in recurring revenues

Spirit Telecom’s Spirit X platform has launched the NBN Enterprise Ethernet (NBN EE) range to its resellers and customers

Telecommunications innovator Vonex Limited has received a royalty cash inflow of $1.75 million.