On 7 August 2023, GO plc announced that following the conclusion of discussions with BMIT Technologies plc for the potential assignment and transfer of certain lease rights and obligations currently enjoyed by GO as well as the passive infrastructure used for hosting telecommunications equipment, it entered into an Asset Purchase Agreement in relation to the proposed transaction. Further details regarding the Asset Purchase Agreement are available here.
The Board of Directors explained that since the proposed transaction constitutes a material related party transaction, the company’s Audit Committee reviewed, assessed and approved the proposed transaction after ensuring that the agreement was entered into at arm’s length and on a normal, commercial basis and that it is fair and reasonable from the perspective of the company and of the shareholders who are not related parties.
The Directors explained that the proposed transaction will allow GO to focus on its core business operations and end-customers, resulting in operational advantages and the provision of better services for/to GO. The proceeds are expected to go towards the financing of GO’s future capital expenditure and investments as well as partial repayment of existing borrowings.