Dodo Sold For $203 Million: What Does It Mean For Existing Customers?

Telco provider M2 Telecommunications has confirmed it will purchase Dodo in a deal worth $203.9 million. Where does this leave Dodo's 400,000 odd customers?

We're currently waiting to hear back from Dodo and M2, but the short answer is that you can expect things to carry on as normal. In an Australian Securities Exchange announcement, M2 confirmed that it intends to keep Dodo's branding, management team and back-of-house operations intact. The acquisition of Dodo and partner company Eftel is expected to contribute $400 million revenue by FY2014.

"Throughout the due diligence process we were very pleased to find the business to be highly efficient with robust internal systems and processes; a testament to the dedication and skill of the Dodo team," said M2 CEO Geoff Horth. (Insert your own Dodo joke or TIO reference here if you must.)

In other words, you can expect your Dodo account to carry on as normal, at least for the time being. We'll keep you posted with more information as we get it.


Comments

    Dodo has been lampooned quite a bit, but to call their 400,000 customers "odd" is a bit nasty.

      Compared to what people normally say about Dodo customers, it's almost an improvement...

        What do they say about us? That we pay less than them for the same service?

      I thought it was funny. And in any event, the description of Dodo's customers as "odd" is certainly what most stood out to me in that article.

        The article doesn't call the customers odd, as in they are unusual. It says 400 000 odd customers, in other words, the 400 000 or so customers.

          troll...

    Wait, what?

    "$203.9 million. Where does this leave Dodo’s 400,000 odd customers?"

    Either the company is being valued at $500,000 per customer at sale, or Dodo has a ****load of revenue from non-retail revenue streams.

      I think you did your maths wrong... More like $507 per customer. Which is really cheap when you think about the infastructure etc they would have.

      I think someone has a stoned calculator.

        And its probably M2 Telecommunications

    $203m is a complete rip off. Dodo didn't have infrastructure from my knowledge. They use Optus equipment for DSL and Mobile. The customers they have purchased have no brand loyalty (solely there due to the price they pay. No one stays with DODO long once they have to deal with their customer service. Poor decision on M2's behalf.

    Between Eftel, Club Telco, Dodo, and Platform networks they have a fair amount of existing infrastructure (EFTel has its own DSLAM's Platform networks has a fair amount of rack space in various datacentres, and Club telco/dodo has a massive call centre offshore.)

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