Vodafone buys First Mobile retail chain

Vodafone is just days away from sealing a multi-million dollar deal to buy one of its retail partners First Mobile.

The telco says has signed a conditional agreement to purchase the business, which operates 77 retail stores throughout New Zealand, for an undisclosed sum.

First Mobile is owned and operated by Sean Hannan and is considered one of the largest independent retailers of Vodafone products and services in New Zealand.

It will become a wholly owned subsidiary of Vodafone, under the deal.

Vodafone's other major retail partner is DigiMobile.

Vodafone's director of sales Grant Hopkins said the move was a timely one, which made good business sense for the company.

"First Mobile operates a world-class retail chain and the opportunity to bring that into Vodafone enhances our future plan in the market," Hopkins said.

Former Vodafone Australia chief executive Russell Hewitt will oversee the transition as chief executive.

Head of corporate communications Paul Brislen said First Mobile would continue to run as a stand-alone business for the foreseeable future and customers were unlikely to see any changes.

There would be no stores closures or job losses resulting from the deal, he said.

In the long-term the company would become integrated into the Vodafone business.

- NZ HERALD ONLINE