Superloop investors have backed the broadband internet group’s decision to reject a $466 million takeover approach from rival upstart telco Aussie Broadband, but agree combination of the two companies makes strategic sense.

Superloop, which was founded in 2014 by entrepreneur Bevan Slattery, said that the board and its advisers had considered an all-stock proposal worth 95¢ a share and believed it was “opportunistic” and undervalued the listed target.