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Fongo bids for Wind Mobile Canada

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Once upon a time the wireless startup known as Wind Mobile, know Freedom Mobile, was about to change hands. Fongo, part of Fibernetics group HQ in Cambridge ON, released at the time a press released detailing a bid, an attempt more than anything serious. Fongo Inc. offers is to pay $1 and swap 49 percent of its equity for control of the start-up wireless carrier. Wind Mobile’s biggest shareholder is VimpelCom; who had made clear they want to sell their Canadian unit.

Dutch VimpelCom is one of the largest telecommunications services conglomerates (serving landline and mobile) in the world. Brands that VimpelCom operate are under the names of: “Beeline”, “Kyivstar”, “djuice”, “Wind”, “Infostrada” “Mobilink”, “Leo”, “banglalink”, “Telecel”, and “Djezzy” across 18 countries and 3 continents.

Fongo Inc. is known as a VoIP (Voice Over-IP) provider in the Canadian market. Fongo launched in 2011 offering a VOIP Home Phone and dialer apps for Smartphones. Over 2012 Fongo converged the services formerly provided by Freephoneline.ca and dellvoice.ca. To check Fongo’s VOIP services click here. Largely known as a free service, partly Fongo makes money is by charging long-distance fees.

At the time the offer was made Wind Mobile had 600,000 subscribers; Fongo, reportedly to be around 250,000 subscribers. The combined company will have the ability to bundle Home Phone and mobile services, pretty much as Globalive did in the early Wind Mobile days with its Yak Home Phone services.

Though VimpelCom’s takeover of Lacavera shares has to be approved, which would take majority control. In that case, the bid from Fongo Inc may be accepted. Yet still may face competition from the former Wind Mobile Canada’s CEO Anthony Lacavera itself. In a press conference, Lacavera said if VimpelCom will sell I’ll be at the table biding.

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