Telstra Corporation Limited (ASX:TLS) entered into a Share Sale Agreement to acquire Fone Zone Pty Ltd. from Vita Group Limited (ASX:VTG) for AUD 110 million on September 24, 2021. Upon Completion, board expects to distribute a majority part of the proceeds, less certain transaction, wind-up, and other transition costs, to shareholders via a fully franked special dividend of approximately AUD 65 million to AUD 75 million which is payable in two payments. There will be no change to the capital structure of Vita Group Limited (ASX:VTG) as a result of the Transaction.

Telstra and Vita will provide the transitional services to each other for a period from Completion to June 30, 2022 The transaction is subject to certain conditions and Vita Group Limited (ASX:VTG) shareholders approval, which will be obtained in an Extraordinary General Meeting that is expected to be held on or about November 5, 2021. The transaction is expected to be completed on November 12, 2021. Bancorp Corporate Finance Limited acted as financial advisor and Anastasia Maynes, Famin Ahmed, Blaire O'Loughlin-Mills and Jenny Chen of MinterEllison acted as a legal advisors to Vita Group Limited (ASX:VTG).