Freshtel, the Australian maker and vendor of VoIP products and services across the world, raised nearly $4 million through a share placement to British retailing giant Tesco. This is an attempt by the company to give a boost ragarding its designs regarding the UK.
According to Freshtel, after the placement it will hold 6% of Tesco. The shares issue will raise $3.7 million that Freshtel plans to use to further develop its products and services for UK.
The issue follows a deal with Tesco under which Freshtel will provide a branded VoIP phone services.
Freshtel said;
The own-brand service will launch in the UK next year and be marketed and distributed through Tesco’s existing retail channels.The network, infrastructure and billing information for the retailer will be provided by Freshtel only.
The revenue model is based on earnings per-user license fees and margins on all calls to a fixed or mobile phone.
For its part Tesco will also pay maintenance fees and Freshtel will earn additional royalties on all hardware purchased by Tesco from Freshtel’s manufacturing partners.
Via: Herald Sun
