Ann: TPG to Acquire iiNet in a Recommended Transaction, page-53

IIN is only valuable to TPG, SNG and TLS, these are the only ones who can leverage economies of scale out of iiNet. I also feel the latter 2 would be blocked by the ACCC.


To everyone else who is a reseller (M2, etc.), the debt is too much and margins too slim.

The way I see it is TPG will pay $1.6-1.8 billion to earn ~$200 million free cash flow a year, or ~10%. I'd say that's a good deal, but the same could not be said of someone such as M2 were to acquire it.