It began 14 years ago with 17 shareholders putting up $5,000 each, but now CityLink has been completely gobbled up by the publically listed company TeamTalk.

In a statement to the NZX, TeamTalk group managing director David Ware announced it has increased its shareholding in CityLink to 100% in an equity swap.

He says the deal will see CityLink Holdings, which is owned by four current and former employees of CityLink, swap its investment in CityLink for 386,598 TeamTalk shares and a one-year option to purchase a further 386,598 TeamTalk shares at $2.24.

CityLink’s CEO Neil de Wit, who represents the shareholders who are selling, says they will remain as both employees and investors.

“It makes more sense for us all to become TeamTalk shareholders rather than be locked into a minority shareholding in an unlisted company.” Citylink, which established in 1995 to build and operate a privately run fibre network throughout the central Wellington area, has been credited with enabling innovative web-based companies such as Aftermail and TradeMe to flourish. The 17 founding shareholders included the Wellington City Council.