"This transaction aligns to our strategic aims and will allow People Telecom to focus on profitable growth in our core businesses," Stanton said.

"It will add horsepower to our growth in provision of leading-edge voice and data solutions to SME customers across Australia and the further expansion of our strong ADSL and Mobiles businesses at both the retail and wholesale level."

Stanton stressed that the sale did not represent any reduction in People Telecom's ongoing commitment to its SME and consumer customers in Perth and Western Australia.

"We will continue to serve our SME and consumer customers in Western Australia and push to further grow our market share in those important customer segments," he said.

"The transaction with Amcom includes supply agreements to ensure that People Telecom has full capability to continue serving SME data requirements.