Optus Chief Executive Paul O'Sullivan announced today the planned operational integration of two wholly-owned Optus subsidiaries, Virgin Mobile Australia (VMA) and SIMplus Mobile.
"VMA has one of the strongest prepaid offerings in the market and SIMplus has strengths in the post paid market through varied sales channels," Mr O'Sullivan said.
"Synergies between the two companies are strong and in the highly competitive mobile market, combining these operations makes good business sense.
"The integration supports Optus' strategy to strengthen its mobile market position and provides a solid foundation for future growth of the Virgin Mobile brand," Mr O'Sullivan said.
Mr Matt Davey has been appointed Chief Executive of the combined operation. Mr Davey replaces Jonathan Marchbank who has decided to pursue a new opportunity.
"I would like to thank Jonathan. He has been a great supporter of Optus' acquisition of VMA and working towards taking VMA into its next phase," Mr O'Sullivan said.
SIMplus Managing Director, Keir Preedy will work with Mr Davey to oversee the realisation of the business benefits of the two companies as acting Chief Operating Officer.
Mr Davey recently returned from a eight month posting with Globe Telecom in the Philippines, a SingTel Group company, where he helped establish the small business group.
Mr Davey has been with Optus for over nine years working in the Consumer and Small Business Customer Facing Units. He has extensive telecommunications experience in the prepaid and post paid consumer and business markets.
"Optus is pleased to have secured someone with such extensive knowledge of the mobile industry to lead the new VMA," Mr O'Sullivan said.
"Matt will provide strong leadership during the transition of the company and drive VMA on to further success as it expands its product range."
Mr Davey will begin immediately, reporting to Paul O'Sullivan.
Both companies will remain as separate legal entities.
Media contact:
Simone Bergholcs
Optus Corporate Affairs
Tel: (02) 9342 7846
Note to editor:
About Virgin Mobile Australia
Virgin Mobile Australia is a leading consumer focused mobile operator with its headquarters in Sydney and stores in Sydney, Brisbane & Melbourne.
Following a successful launch in October 2000, Virgin Mobile Australia has continued to achieve strong growth and now has over 500,000 customers, employs over 300 people.
Virgin is one of the most recognised brands globally, representing strong customer focus and good value for money.
About SIMplus Mobile
SIMplus Mobile is one of the largest service providers of the Optus Network in Australia.
SIMplus Mobile is dedicated to offering uncomplicated, value-driven mobile solutions that put the customer in control. This is achieved through easy to understand plans, competitive call rates, a dependable network service and simple billing and payment options.
With more than 4,100 base stations, the Optus Network is committed to providing coverage where and when it is needed, currently offering coverage to more than 96 per cent of the Australian population.