Telstra swallows prepaid mobile provider Boost for $100m

Telstra is to acquire mobile virtual network operator Boost Mobile, expanding its existing operational management of the company.

Boost Mobile services the prepaid mobile market and, in contrast to other MVNOs, operates on Telstra's entire mobile network while others utilise just its wholesale network.

iTnews understands that Telstra paid roughly $100 million all-cash for Boost.

As well as its network coverage, Telstra also oversaw most of Boost’s operations, including its pricing, product development and customer service.

Boost, meanwhile, was responsible for its own branding and marketing.

First launched in 2000, Boost has been a Telstra MVNO for over 12 years, having ended its previous relationship with Optus in 2012.

In the early days, Boost was an MVNO on Telstra's 3G mobile network, while customers wanting 4G services and value-adds were required to be direct Telstra customers.

Telstra Consumer group executive Brad Whitcomb said the deal consolidates “all aspects of the Boost Mobile business under one roof”.

“This acquisition cements just how much we value the Boost brand,” he added.

Boost Mobile has been contacted for comment.