Telechoice International T41 has disposed of its wholly-owned subsidiary, Nexwave Telecoms, for $30,000.
The company, on May 31, entered into a sale and purchase agreement (SPA) with Netpluz Asia through the sale of 6.66 million ordinary shares, or 100% of the total issued shares in Nexwave Telecoms.
Nexwave Telecoms provides IDD international call services and internet protocol telephone services for both consumer and corporate accounts (voice business). It is also in the info-communications (ICT) business which includes the provision of contact centre and unified communications solutions.
The sale and purchase of the shares in Nexwave are made on the basis that NexWave only has its voice business as its ICT business is being transferred to another one of Telechoice’s subsidiaries, NxGen Communications.
According to Telechoice, the disposal was made due to its shift in focus to the higher growth area of software-as-a-service (SaaS), in particular, unified communications-as-a-service (UCaaS) and contact centre-as-a-service (CCaaS). Furthermore, NexWave’s IDD business has seen a continued decline in usage with the emergence of online communication collaboration tools and other over-the-top applications.
According to NexWave Telecoms’ audited financial statements for the FY2022 ended Dec 31, 2022, the subsidiary recorded a negative audited net asset value (NAV) of around $2.7 million and a net loss of around $1.4 million.
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As at 9.20am, shares in Telechoice are trading flat at 8.2 cents.
