Compass to return cash

Compass Communications Group has turned its back on the failing New Capital Market, opting to liquidate its listed shell company and return funds to investors.

Compass, an internet service provider and toll call operator, had been weighing up the costs of going ahead with its key transaction, but Karim Hussona, Compass' chief executive, said that at a cost of around $200,000 the key transaction process was too expensive to justify.



Shareholders who bought into Compass' initial public offering at 50c per share will receive at least 45c a share back when the funds are redistributed.

Compass, the private company, last week finalised the purchase of wireless internet provider Radionet from Wilson Neill's receivers for an undisclosed price.

Seven Radionet staff join Compass.