Yesterday, Superloop Ltd (ASX: SLC) announced it has surpassed 250,000 Origin broadband subscribers on its network, reaching Milestone 4 of its long-term agreement with Origin Energy Ltd (ASX ORG).
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What did Superloop report?
- Over 250,000 Origin broadband subscribers now on the Superloop network (Milestone 4 achieved)
- Triggers share issue obligation based on customer milestones
- Milestone shares priced at the 30-day VWAP at milestone date
- Shares subject to 12-month voluntary lock-up
What else do investors need to know?
Superloop's Origin contract is an exclusive six-year deal to provide wholesale internet services to Origin Energy Retail and its subsidiaries. The deal, secured in March 2024, has enabled Superloop to substantially grow its retail broadband subscriber base.
Each milestone achieved under the Origin contract triggers the issue of Superloop shares, pending shareholder and regulatory approvals. The shares issued for Milestone 4 are locked up for one year, aligning management's interests with long-term performance.
What's next for Superloop?
Looking ahead, Superloop will continue executing on its Origin partnership and remains focused on growing its position as a leading challenger in the Australian broadband market. Reaching Milestone 4 demonstrates progress in scaling its wholesale and retail internet offerings.
The company will seek required approvals to issue the new milestone shares and uphold its obligations under the Origin agreement. Superloop's strategy centres on innovation and customer growth as it leverages its infrastructure and software platforms.
Superloop share price snapshot
Over the past 12 months, Superloop shares have risen 34%, trailing the S&P/ASX 200 Index (ASX: XJO) which has risen 9% over the same period.
