Link Mobility, the Oslo-listed global communications platform-as-a-service (CPaaS) provider, has entered the South African market with the acquisition of SMSPortal, a regional leader in application-to-person (A2P) messaging services. The transaction, valued at up to USD 145 million, signifies Link’s inaugural venture outside of Europe and aligns with its broader inorganic growth strategy aimed at penetrating new high-potential markets.
SMSPortal, headquartered in Cape Town, has built a solid reputation as South Africa’s foremost A2P messaging provider. The company services a large portfolio of both domestic and international clients across enterprise segments. According to the official statement, SMSPortal recorded USD 112 million in revenue and USD 25 million in EBITDA over the twelve months ending April 2025, achieving a notable EBITDA margin of 22%.
The acquisition is underpinned by both strategic and financial incentives. Link Mobility will pay an upfront consideration of USD 115 million, comprised of USD 100 million in cash and USD 15 million in equity, represented by 5.9 million newly issued shares at NOK 26 per share. The deal further includes a conditional earn-out component of up to USD 30 million, contingent on SMSPortal meeting predefined performance targets over the next two years. This structure places the total potential deal value at USD 145 million, equating to a multiple of 5.8x EBITDA.
Thomas Berge, CEO of Link Mobility, described the acquisition as a “perfect fit” for the group’s M&A strategy, noting that SMSPortal’s presence in a stable and regulated telecommunications market offers a compelling platform for future growth. “This acquisition extends our reach into an attractive geography with predictable market conditions and opens opportunities to introduce Link’s advanced CPaaS portfolio to new customer segments,” Berge remarked during a webcast presentation held earlier today.
SMSPortal will continue to operate as a standalone business unit, maintaining its existing brand identity and operational autonomy under the leadership of CEO Andre Ittmann. The company’s core team will remain based in Cape Town, focusing on serving its broad customer base while leveraging Link’s global infrastructure and technology capabilities.
In recent years, SMSPortal has demonstrated robust financial performance, with revenues growing from USD 65 million in 2022 to USD 112 million in 2025. Over this period, EBITDA more than doubled from USD 11 million to USD 25 million, and gross profits posted a compound annual growth rate of 43%. These metrics underline the business’ scalability and operational efficiency.
Link Mobility’s strategic intent goes beyond SMS traffic consolidation. The company aims to drive higher-margin growth by rolling out its advanced CPaaS services—particularly conversational messaging solutions on platforms such as RCS (Rich Communication Services) and WhatsApp—into SMSPortal’s established customer base. This initiative is expected to enhance monetisation and unlock new value streams across the African market.
On a pro-forma basis, Link Mobility’s net interest-bearing debt rises to NOK 2.0 billion following the acquisition, corresponding to a leverage ratio of 1.8x—comfortably within its target range of 2.0x to 2.5x. The transaction is therefore seen as both strategically sound and financially accretive.
The acquisition affirms Link Mobility’s intent to diversify its global footprint and unlock long-term shareholder value through disciplined capital allocation. As the African continent experiences accelerating digital transformation and increased enterprise demand for omnichannel engagement, Link Mobility’s entry signals rising interest in the region’s tech infrastructure as a driver of scalable growth.
Investors, analysts, and media were invited to a webcast hosted on RoyalCast where management outlined the details of the transaction and its strategic relevance.
Further details and the presentation materials are available on Link Mobility’s Investor Relations website.
